P.R. Laws tit. 3, § 283j
(a) All officers and employees of the dependencies whose accounts, records, vouchers and other documents are subject to the jurisdiction and examination the Secretary or the Comptroller of Puerto Rico; all those who certify any aspect of the vouchers and other income or payment documents and all those who in some way intervene in payment and income transactions and with the public property of the dependencies and any other officer whom the Secretary may deem convenient and necessary shall be covered by a bond. The legislative bodies shall approve and adopt their own rules and procedures to govern the objectives sought by this subsection.
(b) All bonds required by law from the officers and employees of the Government of the Commonwealth of Puerto Rico shall be covered by a blanket position bond or in such a way as to best serve the interests of the government, as determined by the Secretary. These bonds shall be posted and paid chargeable to the funds provided in the general expenses budget for their respective dependencies and legislative bodies, and insurance policy contracts may only be executed with companies duly authorized to conduct business in Puerto Rico under the laws in effect at the time. The Secretary shall be the custodian of the bonds and shall approve the same. Furthermore, the Secretary is authorized to establish, through regulations, the amount of the bond for any position or employment when said amount is not fixed by law.
(c) Said bonds shall answer to the Commonwealth for any loss of monies, securities, bonds, shares or any other title or certificate of indebtedness or obligation, or any public property belonging to the Commonwealth, caused by fraud, dishonesty, larceny, theft, robbery, burglary, breach of trust, forgery, false representation, misappropriation, embezzlement or any other misuse of funds or of public property, provided said acts are performed by the officer or employee responsible, or by any other person with the knowledge and consent or said officer or employee. The bonds shall also answer to the Commonwealth for any loss of funds and public property of the dependencies or legislative bodies which takes place due to the negligence of the officer or employee responsible which may be tantamount to a violation or fault in the faithful discharge of his/her duties, or in the fulfillment of the duties of his/her office. The bonds shall also answer for any irregularity incurred by the officers or employees while in office in those cases as the laws may so require.
(d) The Secretary is hereby directed to obtain from different solvent companies authorized to do business of securities and bonds in Puerto Rico bids to furnish bonds for the amount to be fixed by the Secretary to cover the liabilities of the officers or employees. Said bids shall be accompanied by bond forms, rates and other necessary documents, as well as satisfactory proof to the Secretary of the solvency of said companies. The bids shall be presented on the date fixed by the Secretary, on which date they shall be opened and afterwards the contract shall be adjudged for the furnishing of said general bond to the best solvent bidder. The Secretary shall reserve the right to reject any or all the bids.
(e) The Secretary shall furnish bond for the amount of $125,000 to secure the faithful fulfillment of his obligations. Said bond shall be approved by the Secretary of Justice as to its form, and shall remain filed in the Treasury Department. The procedure prescribed in subsection (d) of this section shall be followed, insofar as applicable, for the contracting of the bond.
(f) In the case of municipalities, the Secretary shall advance payment of the blanket bond premium, the amount of which shall be reimbursed to the general fund through retentions of the property tax in the proportion corresponding to each municipality. The bond must be approved as to its amount, by the Secretary and as to its legal form, by the Secretary of Justice, and filed in the Department of the Treasury. For contracting the blanket bond of municipal officials and employees, the Secretary shall follow, wherever applicable, the procedure established.
History —July 23, 1974, No. 230, Part 2, p. 183, § 11; June 11, 2004, No. 140, § 8.