The FBI has launched an investigation into a $300 million contract awarded to a tiny Montana electric company to help rebuild Puerto Rico’s power grid after the island was decimated by Hurricane Maria, it was reported on Monday.
Agents with the bureau’s San Juan office are looking into the agreement signed between the Puerto Rico Electric Power Authority and Whitefish Energy Holdings, the Wall Street Journal reported.
Questions about the deal emerged last week when the Washington Post reported that Whitefish, which is based in the hometown of Interior Secretary Ryan Zinke, won a no-bid contract with PREPA even though it only had two employees when Maria made landfall on Sept. 20.
Puerto Rico Gov. Ricardo Rossello on Sunday said that he was canceling the deal.
About 70 percent of the island is still without power after the hurricane.
Whitefish, did not comment about the FBI probe, but said it was “disappointed” the deal had been canceled, saying it would delay resorting power on the US commonwealth.