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Boyfriend of Madrid’s populist leader Ayuso faces tax fraud probe

The partner of Madrid's right-wing regional leader Isabel Díaz Ayuso is under investigation for alleged tax fraud of around $380,000, the latest corruption scandal to unsettle Spain's political establishment.

Boyfriend of Madrid's populist leader Ayuso faces tax fraud probe
Two years ago, Ayuso came under scrutiny following reports that her brother had pocketed nearly €300,000 in commission for face mask contracts awarded by her regional administration during the pandemic. (Photo by OSCAR DEL POZO / AFP)

The case involves Alberto Gónzalez Amador, partner of Madrid’s regional leader Isabel Díaz Ayuso, an outspoken hardliner from Spain’s right wing opposition Popular Party (PP).

It comes as Spain’s left-wing government has been struggling to handle the fallout of a separate corruption scandal involving a former minister’s top aide, drawing a barrage of attacks from the PP.

In the complaint which was filed with the courts earlier this month, a copy of which was seen by AFP, prosecutors allege Amador filed false invoices to reduce the tax owed by his company, Maxwell Cremona Ingeniería y Procesos Sociedad para el Fomento del Medioambiente SL.

ElDiario.es, the Spanish news website which broke the story, said the company, which is listed as offering engineering and other services, moved into healthcare-related matters during the Covid pandemic, which began in early 2020.

The corruption allegation involves the tax years 2020 and 2021.

Amador is facing two charges of tax fraud and one charge of falsifying documents.

Prosecutors also named four other people who ran nine companies that provided invoices for services never rendered.

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

Prosecutors began investigating in January after receiving a report from Spain’s “Agencia Tributaria” tax agency based on an audit of Maxwell Cremona’s activity in 2020 and 2021.

“During the audit… it was noted that in light of the increased turnover during these years, this company… did certain things with the sole aim of reducing its tax burden, deducting expenses based on invoices that did not correspond to services actually rendered,” prosecutors said.

“The taxpayer… knowingly and voluntarily submitted untruthful corporate tax returns for the 2020 and 2021 tax periods, failing to pay the amount of €155,000 ($169,000) for 2020 and €195,951.41 for 2021”.

In response, Ayuso said she was aware Amador was being “inspected by the tax office”.

But she but presented it as a government-led attempt “to cook up a conspiracy out of a tax inspection into a citizen who has nothing to do with the Madrid regional government”.

National government spokeswoman Pilar Alegría responded by saying the allegations were “very serious” and it was “absolutely essential that (Ayuso) give an appropriate explanation”.

Two years ago, Ayuso came under scrutiny following reports that her brother had pocketed nearly €300,000 in commission for face mask contracts awarded by her regional administration during the pandemic.

At the time, she conceded that her brother had been paid for securing the delivery of masks from China but insisted everything was above board and legal.

READ ALSO: Madrid’s Díaz Ayuso, a right-wing thorn in Spanish PM’s side

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POLITICS

‘Pedro stay!’: Thousands of Spanish PM’s supporters take to the streets

Thousands of supporters of Spanish Prime Minister Pedro Sanchez rallied at the headquarters of his Socialist party imploring him not to step down over a graft investigation against his wife.

'Pedro stay!': Thousands of Spanish PM's supporters take to the streets

The 52-year-old, who has been in office since 2018, stunned Spain on Wednesday when he put his resignation on the line after a Madrid court opened a preliminary investigation into suspected influence peddling and corruption against his spouse Begona Gomez.

Sanchez said he would suspend all public duties until he announces his decision on Monday. The normally hyperactive premier has since remained out of sight and silent.

“I need to stop and think whether I should continue to head the government or whether I should give up this honour,” he wrote in a four-page letter posted on X, formerly Twitter.

Supporters on Saturday held up placards saying “Spain needs you”, “Pedro don’t abandon us’, and shouted slogans such as “Pedro leader”.

“I hope that Sanchez will say on Monday that he will stay,” said Sara Domínguez, a consultant in her 30’s, adding that his government had “taken good steps for women, the LGBT community and minorities”.

Jose María Diez, a 44-year-old government official who came from Valladolid in northern Spain to express his support, said there was a real possibility that the far-right could take power if Sanchez quit.

“This will mean a step backwards for our rights and liberties,” he warned.

Inside the party headquarters, there were similar passionate appeals.

‘Pedro stay’

“Pedro stay. We are together and together we can … take the country forward, Spain can’t step back,” said Budget Minister Maria Jesus Montero, the government number two.

“Today all democrats, all progressives, are summoned to Madrid against a pack whose only aim is to overthrow a democratic and legitimate government,” said Felix Bolanos, Minister of the Presidency, Justice and Parliamentary Relations.

At one point, Socialist leaders took to the streets to thank those gathered. “They won’t succeed,” government spokeswoman Pilar Alegria told the crowd.

The court opened the investigation into Sanchez’s wife in response to a complaint from anti-corruption pressure group Manos Limpias (Clean Hands), whose leader is linked to the far right.

The group, which has presented a litany of unsuccessful lawsuits against politicians in the past, said on Wednesday its complaint was based on media reports and could not vouch for their veracity.

While the court did not give details of the case, online news site El Confidencial said it focused on links Gomez had to Spanish tourism group Globalia when carrier Air Europa was in talks with the government to secure a huge bailout.

The airline sought the bailout after it was badly hit by plunging paseenger numbers during the Covid-19 crisis.

At the time, Gomez was running IE Africa Centre, a foundation linked to Madrid’s Instituto de Empresa (IE) business school, which had signed a sponsorship agreement with Globalia in 2020.

Spain’s public prosecutors office on Thursday requested the dismissal of the investigation, which Sanchez said was part of a campaign of “harassment” against him and his wife waged by “media heavily influenced by the right and far right”.

If Sanchez decides to remain in office, he could choose to file a confidence motion in parliament to show that he and his minority government are still supported by a majority of lawmakers.

If he resigns, an early election could be called from July — a year after the last one — with or without Sanchez at the helm of the Socialist party.

The right-wing opposition has accused the prime minister of being irresponsible for putting the country on hold while he mulls his decision.

“It’s very clear to us that this is all a tactic… We know Pedro Sanchez and things with him always turn out like a soap opera,” Cuca Gamarra, the number two of the main opposition conservative Popular Party, said on Friday.

“He is making us all wait and the country is at a standstill,” she added.

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