Tag Archives: Luis Barcenas

Spain PM vows to stay on amid corruption scandal

Spanish Prime Minister Mariano Rajoy said Monday he had no plans to bow to opposition parties demands that he resign following newspaper publication of text messages in which he tells a former ruling party treasurer under a corruption investigation to “stay calm.”

“I am going to see out the mandate the Spanish electorate gave me,” he told reporters at a press conference with visiting Polish counterpart Donald Tusk. “This is a stable government that is going to fulfill its obligations.”

Rajoy, who says neither he nor other party figures received illegal payments, did not deny exchanging text messages with now jailed former Popular Party treasurer Luis Barcenas. He claimed the messages demonstrated that the state “was not bowing to blackmail. This is a serious democracy,”

A former senator, Barcenas was a top member of the party’s treasury for some 20 years until he resigned in 2009 on being named a suspect in a probe of illegal funding of the party.

The mobile phone text messages, published by El Mundo on Sunday, date from before Barcenas was sent to jail. In them, Rajoy tells the former treasurer to “stay calm” but advises him that the situation is difficult.

“Luis, nothing is easy. But we are doing what we can,” one message says. “Cheer up.”

Barcenas was jailed last month while awaiting possible trial on tax fraud and money-laundering charges after the National Court found he had held some 47 million euros ($61 million) in secret Swiss bank accounts. Speculation has been rampant since then that he might try to drag the party and the government into the scandal.

Both the Swiss bank account and the slush fund probes have rocked the party and the country. They come while Spaniards are obliged to cope with harsh austerity measures, increased taxes and tough economic reforms aimed at reducing debt and 27 percent unemployment.

Rajoy boasted that the reforms were beginning to pay off and that he was not about to allow his plans for more reforms to be derailed.

“Let no one think we are going to be distracted from getting Spain out of the crisis,” he said.

Barcenas, meanwhile, appeared again Monday before the judge investigating the alleged slush fund. Leading daily …read more

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Spanish PM under pressure over slush fund scandal

Spanish Prime Minister Mariano Rajoy faced calls to explain himself or resign over his alleged support for the ruling Popular Party’s disgraced former treasurer, who headed to court Monday over a slush fund scandal.

The 58-year-old, grey-bearded premier has denied any wrongdoing and refused to comment in past weeks on the growing controversy centred on former party treasurer Luis Barcenas.

Pressure on Rajoy mounted, however, as more allegations were revealed and as the 55-year-old Barcenas faced a High Court judge to answer questions over secret political payments.

Barcenas was called to appear in the Madrid court after conservative daily El Mundo last week published what it said was an original page from Barcenas’ slush fund ledger and delivered the document to the court.

The excerpt purportedly showed extra payments from a secret fund to party officials including Rajoy when he was a minister under then prime minister Jose Maria Aznar in 1997, 1998 and 1999.

Barcenas is suspected of running a slush fund financed by corporate donors who were then rewarded with public contracts. The cash was allegedly used to supplement senior party members’ salaries.

In the latest blow to Rajoy, the conservative daily El Mundo on Sunday published friendly mobile text messages between the prime minister and Barcenas from May 2011 to March 2013, ending some two months after the scandal erupted.

“Luis, I understand, be strong. I will call you tomorrow. Best wishes,” said one of the messages reportedly from Rajoy to Barcenas, dated January 18 when El Mundo first published allegations over the slush fund.

“It is not good to try to determine what we will say or to comment on things that must be presented to the courts, which we must all respect,” read another message allegedly sent by Rajoy.

Barcenas reportedly told El Mundo in an interview published July 7 that the Popular Party had engaged in illegal financing for nearly 20 years.

The Popular Party has repeatedly denied secret financing allegations.

The leader of Spain’s main opposition Socialist Party, Alfredo Perez Rubalcaba, on Sunday accused the premier of “serious collusion” with Barcenas and said he was severing all contact with the prime minister and his party.

“Given the unsustainable political situation in Spain, the Socialist Party calls for the immediate resignation of Mariano Rajoy as head of the government,” he said.

But few people in Spain expect Rajoy to step down given his party’s outright parliamentary majority.

An editorial in leading daily El Pais on Monday demanded an explanation from the premier.

“Out of respect for the democratic system, the citizens and his own party and voters, the head of government must give a true explanation to parliament,” it said.

“Otherwise it will be impossible for him to regain his credibility.”

Rajoy has so far resisted calls to appear before parliament over the scandal and has carefully avoided even mentioning the name Barcenas.

But he is expected to face the press Monday after hosting a visit by Polish Prime Minister Donald Tusk.

The corruption allegations have outraged Spaniards suffering in a recession with a record unemployment rate of more than 27 percent. Dozens …read more

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Heat on Spain PM over alleged phone texts

Conservative Spanish Prime Minister Mariano Rajoy faces a likely barrage of questions at a press conference after a newspaper published alleged text message exchanges between him and a jailed former party treasurer.

The leading opposition Socialist party and others have demanded Rajoy resign.

Rajoy is scheduled to face the press Monday with visiting Polish counterpart Donald Tusk.

El Mundo on Sunday published what it said were friendly text messages between Rajoy and former Popular Party treasurer Luis Barcenas.

Barcenas is at the heart of a probe into a slush fund that allegedly made payments to top party figures including Rajoy. Barcenas is to be quizzed by a judge in the case again Monday.

Rajoy has denied that he or other party figures received illegal payments.

…read more

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Spain PM faces call to quit over slush fund scandal

Spain’s Prime Minister Mariano Rajoy faced calls to resign Sunday over a slush fund scandal roiling his ruling Popular Party.

The issue blew up again after the publication of friendly mobile text messages he purportedly sent to the disgraced treasurer at the heart of the affair.

The leader of Spain’s main opposition Socialist Party, Alfredo Perez Rubalcaba, said he was severing all contact with the prime minister and his party.

“Given the unsustainable political situation in Spain, the Socialist Party calls for the immediate resignation of Mariano Rajoy as head of the government,” he told reporters in Madrid.

“Mr Rajoy’s conduct in this situation can be summarised quite simply: silence, lies, and after what we have learned today, collusion, extremely serious collusion,” Rubalcaba said.

Dozens of protesters, outraged by the corruption allegations at a time of recession and record unemployment, rallied outside the Popular Party’s Madrid headquarters, chanting “Thieves!” and “Here is Ali Babi’s cave!”.

The centre-right daily El Mundo newspaper published images of the alleged text messages between Rajoy and Luis Barcenas, the former ruling party treasurer who is in pre-trial detention as part of a separate corruption inquiry.

Barcenas is suspected of running a party slush fund financed by corporate donors who were then rewarded with state contracts. The cash was allegedly used to supplement senior party members’ salaries.

According to El Mundo, the prime minister sent supportive messages to Barcenas between May 2011 and March 2013, ending some two months after the scandal erupted.

Rajoy kept in “direct and permanent contact” with Barcenas, El Mundo said.

“Luis, I understand, be strong. I will call you tomorrow. Best wishes,” said one of the messages purportedly from Rajoy to Barcenas, dated January 18 this year when El Mundo first published allegations over the slush fund.

“It is not good to try to determine what we will say or to comment on things that must be presented to the courts, which we must all respect,” read another message allegedly sent by Rajoy.

The Popular Party, which has ruled with an absolute majority since winning an election landslide in September 2011, hit back at the opposition call for the prime minister to step down.

“It is pitiful that Rubalcaba, in his distress, is calling for resignations in collusion with the lies of a man under police investigation,” said Carlos Floriano, the Popular Party’s deputy secretary.

Rajoy, backed by his party’s solid majority, has resisted calls to answer questions in parliament over the scandal. He is expected to face the press Monday, however, after hosting a visit by Polish Prime Minister Donald Tusk.

Barcenas has been summoned to appear before a judge on Monday after El Mundo last week published what it said was an original page from Barcenas’ slush fund ledger and handed the document to the courts.

The excerpt purportedly showed extra payments to party officials including Rajoy when he was a minister under then prime minister Jose Maria Aznar in 1997, 1998 and 1999.

The entries include two payments to Rajoy of 2.1 million pesetas (12,600 euros/$16,200) in 1998.

Coming six months after centre-left daily El Pais …read more

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Spain's opposition leaders call on Rajoy to resign

Spain’s opposition leaders have urged Prime Minister Mariano Rajoy to resign after a newspaper published what it says is evidence that he allegedly received slush-fund payments while serving in a previous government.

A scandal over such alleged secret payments has already shaken Rajoy’s party and dented its popularity ratings.

Sunday’s El Mundo report contains what it calls further proof that Rajoy knew of illegal financing within his party by jailed former treasurer Luis Barcenas. The paper published what it identified as mobile phone messages between Rajoy and Barcenas.

Spaniards are currently coping with harsh austerity measures and tough economic reforms designed to reduce the country’s debt.

The battered economy has been hit by recession and unemployment that has soared to 27.2 percent.

…read more

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Spain's premier publishes tax returns amid scandal

Spain’s prime minister has published a summary of his income and tax returns in a bid to defuse a corruption scandal engulfing his government after the publication of media allegations that he and senior members of his political party received and distributed under-the-table payments.

The accounts appeared Saturday on Mariano Rajoy‘s official website and indicate he took a wage cut from €240,000 ($320,780) while in opposition to €75,000 ($100,240) as prime minister.

The figures however only go back to 2003, the year Rajoy took over the Popular Party as election candidate.

The scandal emerged after leading newspaper El Pais published a report on Jan. 31 about ledgers it said were from party treasurer Luis Barcenas, stretching back nearly 20 years, showing alleged cash payments to leading party members including Rajoy.

…read more
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Spanish ex-party treasurer quizzed over accounts

Protesters have insulted and jeered at the former treasurer of Spain‘s ruling Popular Party as he left prosecutors’ offices where he was questioned about documents which allegedly show he once paid slush fund money to leading party members, including Prime Minister Mariano Rajoy.

People shouted “thief” and “give the money back” at Luis Barcenas as he left the anti-corruption prosecutors’ office Wednesday.

Barcenas was being questioned after Spanish newspaper El Pais last week published what it called Barcenas’ “secret papers,” with copies of alleged records from several years ago showing names and amounts received. The money was allegedly mostly paid by construction companies.

Both Barcenas and the Popular Party claim the documents are false and deny any wrongdoing.

Barcenas declined to talk to reporters Wednesday.

…read more
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Spain prime minister denies corruption allegations

Spain‘s prime minister has denied media reports that allege he and members of his governing Popular Party accepted or made under-the-table payments.

Speaking at a special executive committee meeting at his party’s Madrid headquarters on Saturday, Mariano Rajoy said “it is false” that he received or distributed undocumented money.

Attorney General Eduardo Torres-Dulce said Friday there is sufficient cause to investigate allegations of irregular financing within Rajoy’s party. Leading newspaper El Pais has published details of secret papers belonging to former party treasurer Luis Barcenas allegedly documenting undeclared payments.

The money was allegedly paid by businesses, many linked to construction. El Pais said nearly two-thirds of the payments violated Spain‘s party financing laws.

Rajoy says “I have never received or handed out ‘black money’ in this party or anywhere else.”

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Spain's attorney says PM Rajoy could be quizzed

Spain‘s state attorney says there is sufficient cause to investigate fresh allegations of irregular financing of Spain‘s governing Popular Party and that if necessary Prime Minister Mariano Rajoy would be called in for questioning.

Speaking on 13TV television late Thursday, Eduardo Torres-Dulce was referring to El Pais‘ publication of the so-called “secret papers” of former party treasurer Luis Barcenas, allegedly documenting systematic payments of under-the-table money to leading members, including Rajoy over many years. The money was allegedly paid by businesses, many in the construction sector.

Torres-Dulce said a decision on opening a fresh investigation or possibly incorporating the allegations into one already existing will be taken within days.

El Pais on Friday said nearly two thirds of the payments were in violation of Spain‘s old party financing law.

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Spanish ruling party denies reports of backhanders

Spain‘s governing Popular Party was battling Thursday to defend its honor by denying fresh newspaper reports of regular under-the-table payments to leading members, including Prime Minister Mariano Rajoy.

Party secretary general Maria Dolores de Cospedal, one of the alleged recipients, told a press conference that “we have absolutely nothing to hide,” adding that the allegations had produced great indignation among party members.

She said the report was aimed at damaging the reputation of the party and the prime minister but did not accuse anyone of being behind it.

Leading newspaper El Pais published what it called the “secret accounts” of former party treasurer Luis Barcenas, with copies of alleged records from several years ago showing names and amounts received. The money was allegedly paid by businesses, many in the construction sector, via Barcenas.

In a statement, the party denied the existence of hidden accounts or “the systematic payment to certain people of money other than their monthly wages.”

Socialist opposition party leader Alfredo Perez Rubalcaba said the case was now so serious that Rajoy himself must give an explanation. Others called for fresh elections and Rajoy’s resignation.

The scandal broke when the National Court reported recently that Barcenas amassed an unexplained €22 million ($30 million) in a Swiss bank account several years ago.

Cospedal said the party and each of the members mentioned in the report, including Rajoy, would be taking legal action against media outlets publishing the allegations.

She said the papers cited in the report had nothing to do with the party’s accounting. However, she said some of the entries published corresponded to payments made within the group while others were false.

Meanwhile, Popular Party member and Senate president Pio Garcia Escudero said Thursday he recognized a payment shown in El Pais but claimed it was from him to the party to repay a loan.

This is the first time a newspaper has published images of documents allegedly showing the names of party members and the payments they received as well as sheets showing company names and their donations.

Those named in the lists include former ministers Angel Acebes, Javier Arenas and Francisco Alvarez Cascos. The paper said the documents showed that as of 1997 Rajoy received some €25,000 each year. El Pais did not specify whether former premier Jose Maria Aznar‘s name appeared on the lists but said the initials J.M. did.

The paper said each of the party members listed and the businesses named had denied receiving or making the payments shown.

Many of the payments occurred during Spain‘s boom years of the late 1990s when the Popular Party was in power and the construction industry made the country one of the most successful economies in the European Union.

The party denies there were ever illegal bonuses or payments and Rajoy recently said he would deal with culprits severely if it were proven to be otherwise. He also ordered internal and external audits of the party’s books.

In previous years anonymous donations were legal for Spanish political parties. It remains to be seen whether party members declared all their income.

The corruption scandal is the latest to rock Spain, with myriad cases involving bankers, politicians, town councilors and even the royal family. But it has shocked people more given that Rajoy and his party have demanded enormous sacrifices of Spaniards as the country battles recession and 25 percent unemployment.

Barcenas, who served in the party’s treasury for 20 years, resigned in 2009 after he was first named in a National Court probe into alleged irregular financing practices by the party.

His lawyer, Alfonso Trallero, has denied the Swiss account money was illegally obtained or linked to the Popular Party.

Trallero also raised eyebrows when he announced that Barcenas had recently taken advantage of a controversial government amnesty for tax evaders to “regularize” roughly half the Swiss account money, something the Finance Ministry denied.

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Spain ruling party pressed over alleged corruption

Spain‘s ruling Popular Party is struggling to defend itself after a court revealed that a former party treasurer amassed €22 million ($29 million) in a Swiss bank account.

Deputy Prime Minister Soraya Saenz de Santamaria faced a barrage of questions from journalists Friday and denied she knew anything about the money or newspaper reports that ex-treasurer Luis Barcenas also gave party members large sums in under-the table payments.

She deflected questions as to whether Prime Minister Mariano Rajoy or other members of the conservative government received money.

The National Court says an investigation into irregular payments by companies to party members in return for business contracts uncovered that Barcenas had five Swiss accounts. Barcenas, a former senator, resigned in 2010 months after he was first named in the investigation.

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