Puerto Rico

Puerto Rico governor defies new federal control board

Puerto Rico's governor on Monday challenged a federal control board created by Congress just months ago to oversee the finances of the U.S. territory and help pull it out of an economic crisis.

In what could be a test of the board's powers, Gov. Alejandro Garcia Padilla announced he would not submit an amended fiscal plan — the board's first request of the island's leader. He said he believes new austerity measures would only worsen the crisis and insisted the board restructure nearly $70 billion in public debt that he has said is unpayable.

"It's not right, and it's not necessary," he said of austerity measures. "That would push us into an economic...