Corruption in Spain

Reign of Philip III of Spain

The period 1598 to 1617 in which Francisco Gómez de Sandoval, 1st Duke of Lerma held the government on behalf of Philip III was one of the most notoriously corrupt of Spanish regimes. It was infamous because of the self-enrichment activities of his crony bureaucrat, Pedro Franqueza, his secretary, Rodrigo Calderón, Count of Oliva and the Duke of Lerma himself.

19th Century

The Queen Regent Maria Christina of the Two Sicilies became famous for her involvement in shady deals that divided the people of the elite. Speculation in the production of salt, construction of railways and the illegal slave trade , which also involved Ramón María Narváez, 1st Duke of Valencia . It was said that the Queen Mother had no interest. Her fortune was estimated at 300 million Spanish reals .

Spanish dictatorship

The Generalísimo Francisco Franco won by a brutal military rebellion against the democratically elected Frente Popular. ^[11] Both Britain and the United States supported the rebel army and military junta of France in various ways and at various times, but never supported the second Spanish Republic . During his time, he has created the first social security system, and has retired to the Spanish population.

The Accession of Juan Carlos I (raised by Franco from His childhood to perpetuate His legacy) to the Spanish throne saw the advent of a democratic state built on the foundations of the Spanish Constitution of 1978 operated by Largely la même institutions That HAD formerly served the Falange (Franco’s Fascist party) administrations. After some three decades of the younger generation of legal writers, it was decided that it would have been overlooked by the early reformers.

Corruption cases in the post-Franco era

GAL

In 1987 a judge in his early thirties, Baltasar Garzón led the investigation into the conviction of a ( Socialist ) Interior Minister, who had adopted a clandestine policy of State terrorism through operations of the Grupos Antiterroristas de Liberación (GAL), – a collection of criminal gangs who were still fighting Franco’s dirty war against the Basque separatist ETA movement. The case was vigorously defended and appealed, to the Constitutional Court of Spain, where the European Court of Human Rights upheld the European Court of Human Rights

Rumasa and Nueva Rumasa

Rumasa (Ruiz Mateos SA) was founded in 1961 by the family of José María Ruiz Mateos . It was originally exported to England. In 1983 it had become very large (allegedly because it was linked to Opus Dei ) and so debated that it was nationalized by the socialist PSOE government of Felipe González „in the public interest“.

At 60,000 people, with an annual turnover of about 350,000 million pesetas (more than 2,000 million euros). Eventually parts of the empire were re-privatized.

The group, was originally rooted primarily in the wine sector, and diversified into banking. Its gradual but massive growth rate has become a group of companies that (supposedly) supported each other. RUMASA was present in the following sectors:

• Wine production: Bodegas (Wineries) including Paternina  ( es ) , Garvey Group  ( es ) , Bodegas Franco-Españolas, Rene Barber, Segura Viudas, Conde de Caral
• Banking: including banks Atlantic  ( es ) , Jerez, Masaveu  ( es ) , Exbank, AVA, Eurobank, Banfisa
• Hospitality: The hotel chain „Hotasa“
• Retail: 22 Department Stores “ Galerías Preciados “ (since integrated into El Corte Inglés ) and Spanish luxury goods “ Loewe „. (now part of the Louis Vuitton , Moet Hennessy LVMH group)

Following the nationalization of his empire Ruiz-Mateos fled to London and started a series of legal cases to recover some of his assets. In 1985 he was arrested at Frankfurt airport and extradited to Spain.

The Francoist -leaning Alianza Popular political party (now integrated into the Popular Party ) failed to persuade the constitutional court to reverse sequestration. The High Court eventually received a total of 165 claims from Ruiz-Mateos, and eventually resolved to a „fair price“ settlement

Twelve years later in 1997 (shortly after the People’s Party Government of José María Aznar took power) the High Court absolved Ruiz-Mateos from the criminal charges, and in 1999 also the civil actions, so that his lease bonds were returned.

The family started a new company (Nueva Rumasa) with a „Busy Bee“ logo that eventually became major brands, including: The Dhul Food Group, which include brands Cacaolat, Carcesa (which owns Apis conserved tomato products as well as Fruco tomatoes and tomato juice), Clesa dairy products, Royne ice cream, Trapa Chocolates. Wine and beverages include Los Conejos & Gabin Garres liqueurs, rum, rum-punch, sherry, brandy, and other related products.

The company claimed a total of 10,000 employees and the net worth of almost six billion. It has also been launched by many investors, and has been reprinted by the regulatory authorities, who also issued warnings to existing and potential investors.

In 2011 the firm collapsed with a debt of 700 million Euros spread across some 23 banking institutions, private creditors and government agencies. Most of the debt arose from Dhul an Clesa, which together lost 434 million euros.

In 2012 the founding father José María Ruiz-Mateos was arrested and was still in prison. He is essentially accused of operating a large pyramid scheme . Two of them are in the ERE trial process.

Naseiro case

The so-called Naseiro case was a corruption investigation within the People’s Party after the arrival of José María Aznar to the party presidency in 1989. A magistrate in the Valencian Community issued an indemnment against several members of the People’s Party Rosendo Naseiro and Angel Sanchis Perales, a representative for Valencia. Because of the prominence of the accused, the case was heard by the Supreme Court of Spain, but shelved for lack of evidence. Nevertheless, the defendants were still strongly suspected of misconduct and expelled from the Popular Party.

Privatizations

In 1997 the People’s Party Party of José María Aznar announced the sale of the nation’s golden stake in the Telefónica telecommunications company and the Repsol YPF petroleum group . as well as in Endesa , Argentaria and Tabacalera , all major companies managed by people close to Aznar, and since beens Declared illegal by the European Union.

This marked the beginning of a period of privatizations which has vigorously continued under PP administrations. A Contested being white box the Madrid Region’s public health service, in the qui bidders are Suspected of very close ties with the governing party, and in one case, run by a train regional health minister, Manuel Lamela. ^[12]

In 2012 privatized or ‚externalized‘ health services contracted by the public, 345 million euros more than similar activities performed by that public sector organization itself.

Gürtel case

Gürtel is a huge box, code-named after one of its main suspects, construction businessman Francisco Correa . His surname translates to belt in English and to Gürtel in German. The case covers bribery, money laundering and tax evasion , and implicates a wide circle of powerful businessmen and top politicians (90 percent of the whole party) in the People’s Party who had gained an absolute majority in the national elections of Spain.

The magazine was first published by the Spanish newspaper El Pais , whose researchers were awarded prizes for investigative journalism. Initial investigations were conducted in Madrid, Valencia & the Costa del Sol by the notable Spanish National Court Judge Baltasar Garzón , examining magistrate serving the Juzgado Central de Instrucción No. 5.

Although Manos Limpias was party to the initial process, but the case focused on the way forward politicians they brought an action against Garzón for investigating Francoist atrocities, which caused delay and confusion for Gürtel as Garzón was suspended for three years in his acquittal in February 2012 , whereupon it was a converse of a completely different crime connected to Gürtel: that of the ordering of the interception of communications between powerful construction companies and their lawyers, who were suspected of money laundering . His suspension is pending appeal at the European Court of Human Rights which has previously been annulled to similar conviction ^[13]

Francisco Camps (PP party form)

A part of Gürtel detached in 2009, known as the case of Francisco’s suits (caso de los trajes) , involved the president of the Valencia region Francisco Camps who allegedly accepted very expensive bespoke tailoring paid by corrupt businessmen. He was tried by jury in early 2012, and acquitted by a majority verdict. Similar allegations about the high-fashion handbags of the Lady Mayor of Valencia, Rita Barberá Nolla , were dismissed. Camps resigned his presidency to fight his case, but remained a deputy of the Valencia government. Rita Barberá (PP party form) remained in office, but took a beating at the 2015 city elections. All council members from her list have been indicted for corruption in another case. It is a senator , and under law, it is only possible to answer these questions. On April 21, 2016, the investigating judge requested her indictment for money laundering to the Tribunal Supremo. ^[14] In this case, all of them are suspended.

Luis Bárcenas (PP party form)

The Gurtel Case Separated Material Regarding Luis Bárcenas , At The Time The Treasurer Of The Conservative Party. He subsequently accusé His form use of constructive dismissal ^[15] Allegedly concessions for major public infrastructure works Were Obtained by Major building companies in exchange for secret corporate donations amounting to naked bribery During the period 1990 – qui funds Were kept gold Accounted-for in the so-called slush fundBarcenas then used this slush fund to pay extra salaries of between 5000 – 15,000 Euros to party leaders each month, including Spanish Government President Mr Mariano Rajoy and his deputyMaria Dolores of Cospedal . ^[16]

Spanish law prohibits senior politicians from receiving send Any income from sources other than the state institutions by qui They Are employed for defined official duties, and Severely restricts political party funding and Political campaign donations.

Large deposits of money amounting to some 38 million Euros have been found in several foreign banks by Barcenas or his agents, suggesting that he may have won some bribery money for his personal gain.

El País , the national center-left newspaper, published the so-called ‚Barcenas papers‘ outlining some of the transactions for some of the alleged financial fraud. Its rival center-right, El Mundo , later published by President Mariano Rajoy to Barcenas, indicating considerable personal friendship and moral support. ^[17]

on 27 June 2013 High Court Judge Pablo Ruz ordered to form Popular Party (PP) Treasurer Luis Bárcenas held in custody without bail until his eventual trial ^[18] The judge set bail at 45 million Euros to cover his civil obligations, the state prosecutor these are 12 million of Euros

External links to Bárcenas case evidence (in Spanish)

• Todos los papeles de Bárcenas, El Pais The secret ‚Barcenas Papers‘ published by a leading newspaper
• Lo que decía el PP cuando los papeles of Bárcenas eran fotocopias, 9/07/13 Authenticity of the ‚Barcenas Papers
• Bárcenas abre in canal las tripas del PP ante el juez Ruz, 15/07/2013 Barcenas spills the guts of the party secrets
• The ‚pendrive‘ of Bárcenas eleva has 8.3 millones el dinero negro de Génova, 17/07/2013 A USB flash drive reveals increases to the value of the fraud
• The contabilidad b del PP abierta y pública The PP publishes its (audited) accounts
• Excel colaborativo of the papal supuestos of Bárcenas publicados por El País Spreadsheet of ‚Barcenas papers?
• Excel colaborativo of the papal supuestos of Bárcenas. A tabla pública y accesibe que recoge todas las donaciones y los pagos a miembros del Partido Popular publicados primero por el diario El País y luego por El Mundo. An ejercicio of transparency that puso marched in the red in febrero the periodista Antonio Delgado (@adelgado) More investagitive journalism
• EL MUNDO: SUPLEMENTO ESPECIAL PUBLICADO IN THE VERSIÓN IMPRESA EL 17/07/2013 20 years of funds
• Boceto para entender las cuentas de Bárcenas #AdoptaUnaCorrupto Graph of funds flowing into PP

ERE in Andalusia

(in Spanish Wikipedia)

Employment contract severance conditions in Spain are regulated by law, and usually abbreviated to ‚ERE‘ ( expedient of regulación de empleo ).

In 2001 the ( socialist dominated ) regional government of Andalusia chaired by Manuel Chaves Gonzalez (later Minister of State ) gave support to a major commercial supplier of foodstuff (Mercavilla) which was considered to be both strategically important and financially failing. It Provided grants for Severance packages and Subsidized early retirement pensions as well as fees for services related to Such transactions.

In 2008 the conservative opposition Alleged That payments Were made irregularly, and the Civil Guard presented evidence of a ‚Reptilian Fund‘ as well as unjustified payments to persons Who Were not Actually employed and excessive commissions to trade-union Officials and company directors Who managed the transactions.

In consequence, there have been several resignations, probation and bail and even remand (detention) orders, in August 2013 the long-serving regional president, Manuel Chaves resigned and handed power to his deputy in charge of deal with the charges.

On 19 March 2013, as a result of police Operación Heracles the Magistrate , Mrs Mercedes Alaya ordered the arrest and detention of 20 people who had held significant positions in society

Palma Arena

Palma Arena is a velodrome in Palma, Majorca which is allegedly constructed to an inferior specification at an exorbitant cost and with much money diverted to politically connected operators. The former president of the Balearesregion, Jaume Matas (Partido Popular), received a six-year jail sentence, and other aspects of the case are still under investigation.

Nóos

The Nóos is a spinoff of the Palma Arena case. Instituto Nóos was a Foundation (nonprofit) also known as the Strategic Studies Association Sponsorship and Patronage and the Noos Institute of Applied Research . Apparently it has been solicited and accepted by major public bodies for major sports activities that have been either trivial or never started. Its directors Were Diego Pérez Torres and train handball star Iñaki Urdangarin , Duke of Palma the sound in law of the Spanish King , Who aussi ran a consultancy With His wife, the princess Cristina de Borbón y Grecia .

Powerful officials made strenuous efforts to keep the princess out of the box. In 2013 she accepted a position in Vienna, where she moved with the children of the marriage in Barcelona to answer charges.

Millet or Palau de la Música Catalana 

In 2009 the director of the Palau de la Música Catalana in Barcelona , Felix Tusell Millet was accused of systematically raiding the coffers of this public body and confessed to embezzling 3.3 million of Euros. in 2012 he was placed on the lease and the prosecutor sought six years imprisonment and more massive fines.

On January 15, 2018, a short in Barcelona ruled that the Democratic Convergence of Catalonia (CDC, now PDECAT ) had received € 6.6 million in illegal commissions from building firm Ferrovial (previously Grupo Ferrovial) between 1999 and 2009, in exchange for public works contracts . The scheme used the Palau de la Música Catalana concert came as a front for false invoicing. ^[19] Twelve people were jailed and fined millions. CDC treasurer Daniel Osacar was sentenced to four years in prison and fined € 3.7 million for peddling and money laundering influence . ^[20]Fèlix Millet, the former director of the Palau, was jailed for just under 10 years and fined € 4.1 million and his deputy, Jordi Montull, received a 7 years and six months award and was fined € 2.9 million. Millet and Montull were the ones who benefited most from the scam, controlling the Palau’s funds. ^[19] [20] The Turkey Telegraph noted the „final impunity of the CDC leaders“, and also the impunity for the company that paid illegal commissions. Earlier in January, Artur Mas , who was a close ally of Osacar, stepped down as a party president. ^[21]

Bankia

Bankia is a Spanish bank of financial institutions with largely conservative political leadership. On 11 June 2012 the Relatively young political party Union, Progress and Democracy (UPyD) filed a lawsuit Against the directors of Bankia and Its main subsidiary for Alleged fraud, misappropriation, falsification of financial statements in connection with corporate crime, mismanagement and scheme to alter the price of assets. The Indignant Protesters (M-15) raised 15,000 euros by crowd funding , and filed

Judge Fernando Andreu agreed to hear the following complaints: Rodrigo Rato (President and former Conservative Minister of Economy), José Luis Olivas (Deputy Director and former Conservative President of the Valencia Region), Angel Acebes (director and former secretary) general of the conservative party) and Francisco Verdú (an experienced banker and sometime consultant to the construction industry). Also called as Witnesses Were form Governor of the Bank of Spain , Miguel Angel Fernández Ordóñez , the president of the National Securities Market , Julio Segura  ( es ), and the author of the Bankia audit Deloitte , Francisco Celma. However, the court dismissed the fact that they were not in the prospective Bankia but who took office after the company was listed on the stock exchange.

See also

• Crime in Spain
• Corruption in Navarre
• Rita Barberá
• Rodrigo Rato

References