Valparaíso Fire Aftermath: Audit Reveals $782 Million in Unsupported Payments and Overpricing in El Olivar Demolitions

Audits conducted after the devastating fires in Valparaíso revealed significant financial irregularities, including unsupported payments totaling $782 million and overpricing in demolition projects, prompting an investigation into the handling of emergency resources.

The Citizen

10/02/2026 3:04pm

Original article: Post megaincendio de Valparaíso: Contraloría detecta $782 millones sin respaldo y sobreprecios en demoliciones de El Olivar

Audits uncovered unaccounted payments, improper expenses, and control deficiencies regarding funds used following the 2024 emergency.

The Regional Comptroller of Valparaíso has identified a series of irregularities, unsupported payments, and control deficiencies in the management of resources allocated to address the catastrophic megafire in February 2024.

Through five auditing reports, the oversight body highlighted systemic failures involving municipalities, the Regional Presidential Delegation, and the Regional Directorate of Architecture, raising questions about the effectiveness and legality of the actions taken after the tragedy that impacted thousands. The total amount of questioned resources exceeds 1.8 billion pesos.

The audit contained in Final Report No. 500/25 specifically focused on the demolitions in the hard-hit El Olivar area, revealing damning findings as the Comptroller confirmed «unsupported payments exceeding $782 million» for these projects.

The document details that these expenditures lack proper documentary backing and are marked by «irregularities in awarding contracts, overpricing, and deficiencies in documentation.»