Uruguayan government ocean patrols: shocking revelation about alleged multi-million-dollar fraud

Irregularities in the Uruguayan government's ocean patrol contract spark a strong official reaction.
by October 22, 2025
“Uruguayan Government Ocean Patrols: Investigation into Possible Fraud with the Cardama Shipyard.”
President Yamandú Orsi announced the termination of the Uruguayan government's contract for ocean patrol vessels after detecting possible irregularities with the Cardama shipyard. Photo: Estefanía Leal.
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The investigation into the Uruguayan government's ocean patrols continues.

President Yamandú Orsi announced an investigation into the Uruguayan government's ocean patrols after detecting signs of fraud.

President Yamandú Orsi announced the termination of the agreement with the Spanish shipyard Cardama , after warning of signs of possible fraud or swindle against the State .

The president held a press conference with the Secretary of the Presidency, Alejandro Sánchez , and the Deputy Secretary Jorge Díaz , at the Executive Tower , where he explained the reasons that led the Executive to execute the contract guarantee, equivalent to 5% of the total amount.

According to Orsi, internal investigations and technical reports detected serious irregularities that call into question the validity of the guarantee submitted by Cardama, which was commissioned to build two ships for the National Navy.

“There are signs of a shell company”

During the conference, Jorge Díaz explained that the company Eurocommerce , responsible for the contract guarantee, had almost no activity and could be a shell company. "During 2023 and 2024, it only had one employee, and its bank accounts show no activity," he noted.

Furthermore, it was found that Cardama failed to comply with the guarantee validation deadlines on seven occasions. "The initial 45 days turned into 11 months," Díaz added, describing the situation as "a mockery of the State ."

Jorge Díaz during the conference on the Uruguayan government's ocean patrols at the Executive Tower.
Undersecretary of the Presidency, Jorge Díaz, explained the details of the alleged fraud in the Uruguayan government's ocean patrol contract during a press conference at the Executive Tower. Photo: Estefanía Leal.

Criticism of the previous management

Secretary of the Presidency Alejandro Sánchez was blunt: "The red flags went on during the previous administration. This is a very serious matter, and today the State seeks to protect the resources of all Uruguayans."

According to Sánchez, the contract was signed without the minimum requirements and with unusual payment mechanisms. The funds were managed from a Banco República account in euros , rather than through the Ministry of Defense , something the current government considers irregular.

The total amount of the agreement was 82.2 million euros , and the State had already transferred approximately US$30 million before detecting the irregularities.

Sanctions in the Navy and ongoing audits

, Defense Minister Sandra Lazo sanctioned four military officials linked to the shipyard payments. Former Commander-in-Chief Jorge Wilson received the harshest sanction—30 days of mandatory arrest—for providing false information about one of the transfers.

Authorities confirmed that administrative investigations are underway and that the Prosecutor's Office is evaluating possible criminal liability. Two officials from the Spanish Navy were sent to Spain to verify the procedures and certify the documentation issued by the shipyard.

The future of the contract

The Orsi administration now seeks to recover the transferred funds and prevent the Uruguayan state from being exposed to further losses. "We will not allow the people's resources to be squandered. If there is fraud, we will prove it in court," the president asserted.

If suspicions are confirmed, the termination of the contract with Cardama could become one of the most high-profile cases in recent years in public procurement .

International context and political repercussions

The case of the Uruguayan government's ocean patrol vessels also attracted international attention, especially in Spain, where the Cardama had previously faced financial difficulties. Various European media outlets reported that the company was already facing commercial disputes and claims for breach of contract. In Uruguay, the episode generated political tensions between the government and the opposition, who accuse each other of lacking controls in the purchasing process. While the executive branch maintains that it acted "with transparency and responsibility," some legislators are calling for the creation of an investigative commission in Parliament. The controversy promises to continue in the coming months and could set a precedent for how the government handles its international contracts.

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