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Spain’s Speaker of the House embroiled in face mask corruption case

The third most powerful figure in the Spanish State is facing calls to resign due to her alleged role in the 'Caso Koldo' corruption scandal that has dominated Spanish politics in recent weeks.

Spain's Speaker of the House embroiled in face mask corruption case
President of the Congress Francina Armengol. Photo: JAVIER SORIANO/AFP.

The plot thickens in Spain’s pandemic corruption scandal.

Francina Armengol, Speaker of Spain’s House of Deputies, is facing calls to resign her post for her alleged involvement in the ‘Caso Koldo’, as it’s become known.

The scandal broke following the arrest of Koldo García, a one-time advisor to Spain’s former Transport Minister José Luis Ábalos for alleged corruption and ‘kickbacks’ in the awarding of contracts for face masks during the Covid-19 pandemic.

Spain’s Civil Guard police then arrested around twenty people and carried out property searches across the country, with crimes of criminal organisation, money laundering, bribery and influence peddling all suspected.

The case has dominated the Spanish news cycle since and threatened to destabilise the government as it negotiates its controversial amnesty law for Catalan separatists.

READ ALSO: What is Spain’s ‘Caso Koldo’ corruption scandal all about?

In the immediate aftermath of the scandal, Ábalos, who was not only a former Minister but a key political player within the governing Socialist party (PSOE), bore the brunt of the political pressure.

But now Francina Armengol, who was only elected Speaker in August 2023, is facing calls to resign. The Speaker is effectively the third most powerful position within the Spanish state, after the King and Prime Minister.

At the time Armengol’s candidacy for speaker was widely viewed as a political choice by Prime Minister Pedro Sánchez to appeal to Catalans as proceeded with the amnesty law. Armengol was President of the Balearic Islands and is a Mallorquí speaker, a Catalan dialect spoken on the islands.

On Sunday Miguel Tellado, spokesman for the Partido Popular (PP) group in Spain’s Congress, announced that his party would call for Armengol’s immediate resignation, he claims, “for her obvious involvement” in the Koldo case.

“Everything points to the fact that she collaborated in the plot and tried to deceive the EU by asking them to assume the cost of this scam,” Tellado said, adding that Armengol should resign as soon as possible because “she has played with the money, health and intelligence of the Spanish people.”

Armengol is implicated in the scandal because she was President of Balearic Islands during the pandemic when a contract for masks was signed with Soluciones de Gestión SL, the company implicated in the Caso Koldo, for €3.7 million.

In 2023, while she was still the regional President, the Balearic government then claimed €2.6 million from the company for having received defective masks.

However, Spanish outlet La Sexta reports that Armengol’s regional administration took almost three years to formally complain to the company about the masks.

The defective masks were reportedly received at the end of March 2020. However, it was not until March 2023, almost three years later, when the regional health service complained to Soluciones de Gestión SL.

As of Monday March 4th, Tellado confirmed in a press conference that the PP had formally submitted their request for Armengol’s resignation in writing.

However, voices on the Spanish left have come to Armengol’s defence. Aina Vidal, a deputy for junior coalition partner Sumar and leader of En Comú Podem, has accused the PP of wanting to “take advantage” of the Caso Koldo for political reasons.

“The Partido Popular is acting in a rather nefarious way. They are not judges, nor is this a spectacle, or a kind of theatre scene. This is Congress, at the end of the day… things have to be respectful and have to work well,” Vidal said.

The PP’s pressure on Armengol follows over a week of intense attacks on Ábalos, and forms part of a political strategy to tie allegations of corruption to the government, and Prime Minister Pedro Sánchez, more broadly.

For Tellado and others on the Spanish right, the Koldo case is actually Sánchez case: “This is not the Koldo case, this is not the Ábalos case, this is the Sánchez case, because all those involved are people who are extremely close to the Prime Minister, and they are people who are directly linked to him,” he claimed.

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POLITICS

What will Spain’s PM do next after resignation threat?

Sánchez's shock threat of resignation after a dubious corruption probe into his wife has kicked off a period of political uncertainty. What card will the Spanish PM play next according to the experts, or is he truly planning to step down?

What will Spain's PM do next after resignation threat?

Pedro Sánchez, in office since 2018, wrote in a four-page letter posted on social media on Wednesday that he would suspend public duties while he “reflects” on whether he wants to continue leading the government.

The Socialist leader denounced “the seriousness of the attacks” against him and his wife, saying it was part of a campaign of “harassment” waged by the right and far right who “do not accept the election results”.

READ ALSO: Who is Begoña Gómez? Spanish PM’s partner thrust into spotlight

Sánchez, an expert in political survival who has made a career out of taking political gambles, said he would announce his decision on Monday.

Some analysts said he could decide to stay on, with this move aimed at rallying support and regaining the initiative in the face of the right-wing opposition at a time of extreme polarisation in Spanish politics.

“Sánchez is a political animal,” said Oriol Bartomeus, a political scientist at the Autonomous University of Barcelona, adding “he has decided to go on the attack” to try to “change the rules of the debate”.

Paloma Román, a political scientist at Madrid’s Complutense University, said Sánchez had “slammed his fist on the table” as part of a “strategy aimed at putting the spotlight where he wants it”.

Sánchez could file a confidence motion in parliament to show that he and his minority government are still supported by a majority of lawmakers in parliament.

Catalan separatist leader Carles Puigdemont, whose JxCat party is an unpredictable ally of the government, has urged Sánchez to pick this option.

READ ALSO: What happens and who takes over if Spain’s Prime Minister resigns?

For the confidence motion to succeed, Sánchez would just need the backing of a simple majority in the assembly and most of the parties which prop up his minority government have already shown their unconditional support.

Catalan separatist party ERC said it would vote in favour of a confidence motion while hard-left party Podemos, which has clashed with Sánchez in the past, blasted attacks by “the political, media and judicial right” on the prime minister and the left in general.

While the conservative opposition has accused Sánchez of playing the victim to rally support, analysts said the possibility that he will resign cannot be completely ruled out.

“Sánchez’s closest advisers and the leadership of the Socialist party will probably spend the coming days trying to convince him to stay,” said Teneo analyst Antonio Barroso.

“The fact that the prime minister allegedly did not consult any of his advisers when drafting the letter suggests personal reasons might be his main motivation. This makes Sánchez’s decision particularly hard to predict.”

If Sánchez does step down, the Socialist party could propose that parliament appoint someone else as head of the government, with Budget Minister María Jesús Montero, who also serves as deputy prime minister, touted as a likely contender.

But Barroso said it “would probably be hard for Montero to cobble together a majority” in Spain’s highly fractured parliament.

Sánchez could instead resign and call snap elections but he would not be able to do so before May 29 since a year must pass between consecutive dissolutions of parliament.

With the Socialists trailing the main opposition conservative Popular Party in opinion polls, this is a risky strategy, although analysts said Sánchez may bet that leftist voters will be galvanised by the controversy sparked by his resignation.

READ ALSO: Spanish prosecutors question credibility of corruption probe against PM’s wife

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