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Puerto Rico Oversight Board Sues to Stop New Pension Benefits

Dec. 21, 2021, 10:14 PM

The Financial Oversight and Management Board for Puerto Rico said it filed a lawsuit to stop the local government from offering public workers billions in new retirement benefits that it says will undermine the island’s long-sought plan to restructure its debt.

In a statement issued late Monday, the board said it had filed the suit in Puerto Rico District Court to stop the pension measures -- known as Act 80, Act 81, and Act 82 -- because they are being pushed forward without sufficient analysis about how to pay for their costs.

The board estimates the three laws could increase ...