Hidalgo officials disqualified after losing $863M in Bank of America collapse
Four former officials from Hidalgo's government have been disqualified over a failed financial deal. The case involves an 863 million peso contract with Bank of America, a bank now in liquidation. State funds tied to the agreement have since become unrecoverable.
The Hidalgo State Comptroller's Office announced the sanctions against Jessica Blancas, the state's former finance secretary, along with César Alberto González López, Juan Luis García Hernández, and Ignacio Valdez Benítez. Their disqualification follows an investigation into a financial services contract signed with Bank of America.
The probe revealed that officials ignored repeated warnings about the bank's shaky finances. Despite the risks, they failed to withdraw the public money before the institution collapsed. Regulators later revoked Bank of America's operating license, triggering the liquidation process and freezing the 863 million pesos. As a result, the funds—originally allocated for state use—were lost, directly harming Hidalgo's treasury. The officials now face administrative penalties for their role in the financial mishandling.
The disqualified officials were responsible for overseeing the contract with Bank of America. Their inaction led to the permanent loss of state funds. The comptroller's ruling bars them from holding public office in the future.
