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Peru ministers resign

Published:Friday | October 10, 2008 | 12:47 PM

Peruvian cabinet ministers are poised to tender their resignations to the country\'s president over an alleged scandal over oil concessions.



Prime Minister Jorge del Castillo said he and his cabinet are ready to put their fate in the hands of President Alan Garcia Perez.



The move follows a frustrated attempt by the cabinet to explain its decisions before parliament.



On Sunday, a TV station broadcast a tape, which it claimed was a recording of an executive in the state oil company, Petroperu, and a prominent lobbyist discussing payments to help a Norwegian oil company win contracts.



The company, which was awarded contracts to explore oil in Peru, denies the allegations.



Mr Garcia has ordered an investigation and insisted that the government must be purged of corruption.



Energy and Mines Minister Juan Valdivia has already resigned.



Petroperu\'s president, Cesar Gutierrez, has also resigned, although he has denied any involvement in the scandal.