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Spanish Socialist Party Corruption Scandal: Explained

Politics - November 30, 2024

The Spanish government is embroiled in a major corruption scandal that involves several former ministers from the Socialist Worker’s Party (PSOE), all the way to Prime Minister Pedro Sánchez and his inmediate family members. 

The so called “Koldo” Case demonstrates just how far Sánchez and his allies are willing to go to preserve their power, even if it means trampling on the rule of law.

The Conservative party VOX has taken a firm stand in demanding the imputation of Sánchez himself, as well as several of his ministers. The centre-right Partido Popular (PP) is hinting at a possible motion of no-confidence and currently pursues a investigation of the case in the Senate. 

The Koldo Case has been a damning revelation of the inner workings of Sánchez’s administration.

Victor de Aldama, known as the “alleged fixer” of this scandal, voluntarily appeared before the National Court and testified to shocking details implicating high-ranking officials of the Socialist Party (PSOE).

Aldama provided evidence of the distribution of envelopes containing large sums of cash, with prominent figures such as José Luis Ábalos, member of the Spanish Parliament, Santos Cerdán, the PSOE’s Secretary of Organisation, and Koldo García, Ábalos’ adviser, allegedly receiving bribes.

Even more damning, Aldama suggested a direct connection to Pedro Sánchez and Begoña Gómez, Sánchez’s wife, further tying this administration to the heart of the corruption. 

Marta Castro, VOX’s National Legal coordinator, has pointed out that “the person under investigation has given details of their involvement that corroborate the investigation of the Central Operative Unit” (in Spanish Unidad Central Operativa, UCO).

She also stressed the importance of holding all responsible parties accountable: “We will ask the court to investigate to the end so that all the criminal responsibilities that may correspond to this corrupt government are uncovered”. 

Pedro Sánchez has consistently demonstrated that he is willing to go to any length to maintain his grip on power. From questionable alliances with radical factions to scandals like the Koldo Case, his administration has been riddled with controversies that erode public trust.

The allegations of illegal commissions during the pandemic – when Spanish citizens were most vulnerable – are particularly egregious. 

The involvement of Begoña Gómez, in the case is another alarming element according to Aldama, Gómez had meeting with Javier Hidalgo, the ex-CEO of Globalia, linked to the controversial rescue of the Air Europa airline.

This raises serious questions about whether the Prime Minister’s family directly benefited from illicit dealing during the pandemic, further tarnishing the government’s already damaged reputation. 

The Koldo Case has also shed light on the role of figures like Santos Cerdán.

VOX has demanded his appearance as a witness to clarify how money allegedly flowed into the PSOE’s coffers. As Castro aptly noted, “these and other unknowns must be investigated, this matter cannot remain in the sphere of Ábalos”. 

Sánchez’s allies, meanwhile, continue to protect him, demonstrating their complicity in this disgraceful affair.

Their refusal to support the oppositions demands highlights the lack of political will to address the endemic corruption that has plagued the Sánchez administration. 

The Koldo Case is not just an isolated incident but part of a broader pattern of scandals under Sánchez’s leadership.

From the mishandling of pandemic resources to questionable financial dealings, this government has shown a blatant disregard for transparency and accountability.

The creation of seven companies in Portugal by Victor Aldama, presumably to funnel profits out of Spain, exemplifies the lengths to which individuals connected to the government have gone to exploit their positions.  

This scandal comes on the heels of another controversies involving Sánchez’s ministers, such as Fernando Grande-Marlaska and Teresa Ribera–the recently appointed Vice President for the European Commission–who have been implicated in separate allegations of misconduct.

This steady stream of scandals raises a fundamental question: how much longer Sánchez government remain in power without facing serious consequences? 

Adding fuel to the fire of Sánchez’s embattled administration is the recent revelation of Alberto González Amador, boyfriend of the President of the Community of Madrid, Isabel Díaz Ayuso, leak scandal.

According to an exclusive news from the national newspaper ABC, informing that Moncloa orchestrated the leak of confidential information about Alberto González Amador. The information was allegedly funnelled through Sánchez’s inner circle to Juan Lobato, leader of the Madrid PSOE. 

The leak has all the hallmarks of a calculated political operation. Details form an email sent by González Amador’s lawyer to the Prosecutor’s Office were allegedly passed to Juan Lobato by Pilar Sánchez Acera, then Chief of Staff to Pedro Sánchez’s Cabinet director, to arm the Madrid PSOE against Ayuso, a key rival.

Ayuso called it a “case of orchestrated from the premier’s office to destroy a political opponent through her boyfriend”. While Lobato admitted receiving the information, his conflicting statements—initially denying Moncloa’s role before admitting an email—heighten suspicions of PSOE’s tactics. 

Alongside the Koldo Case, this leak underscores Sánchez’s growing use of power for political manipulation, threatening Spani’s democratic integrity.

The Koldo Case is a stark reminder of the dangers of unchecked power. Pedro Sánchez’s administration has crossed every ethical line, prioritising personal gain over public service.