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POLITICS

Judge insists Spain’s PM testify in person in wife’s corruption probe

A Spanish judge on Friday rejected Spanish Prime Minister Pedro Sánchez's request to testify in writing in a preliminary corruption probe into his wife's business ties.

Judge insists Spain's PM testify in person in wife's corruption probe
Spain's Prime Minister Pedro Sánchez delivers a speech on the draft media law during a plenary session at the Congress of Deputies in Madrid, on July 17, 2024. (Photo by OSCAR DEL POZO / AFP)

Judge Juan Carlos Peinado, who is leading the inquiry, maintained Sánchez’s hearing for next Tuesday at 11:00 am (0900 GMT), according to a court filing seen by AFP.

He said he had summoned Sánchez as the spouse of Begoña Gómez, not as prime minister — which would have allowed the Socialist premier to testify in writing as he had requested.

The judge is scheduled to question Sánchez at the premier’s official residence.

But Sánchez can testify at a later date in writing about “relevant facts of which he has had knowledge by reason of his position”, the judge added.

The only other time a sitting Spanish prime minister had to testify in a judicial case was in 2017 when Mariano Rajoy was summoned in a graft case that led to the conviction of several members of his conservative Popular Party (PP).

Gomez is being investigated for alleged influence peddling and corruption following a complaint filed by an anti-graft NGO with links to the far-right called “Manos Limpias” – Spanish for “Clean Hands”.

Sánchez claims harassment

Sánchez has denied any wrongdoing by his wife, repeatedly dismissing the allegations as part of a smear campaign against his government.

Sánchez can appeal the judge’s ruling that he must testify in person, or he can choose not to testify.

His wife invoked her right to remain silent under questioning by a judge earlier this month.

Gómez, has worked in fundraising for years, notably for foundations and NGOs. She is alleged to have used her husband’s position as leverage within her professional circles, notably with businessman Juan Carlos Barrabés who was seeking public funding.

In his testimony, Barrabés – who teaches part of a master’s course at Madrid’s Complutense University that is run by Gómez – acknowledged meeting her five or six times at Moncloa, the premier’s official residence.

Sánchez, in power since 2018, was also present at two of those meetings, he said.

Barrabés — who got two letters of recommendation from Gómez before pitching for a public tender worth several million euros – said they only talked about matters of innovation, judicial sources said.

When the probe was opened in April, Sánchez shocked Spain by saying he was considering resigning over what he denounced as a campaign of political harassment by the right.

He took five days to reflect but ultimately decided to stay on.

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PROPERTY

Spain’s plan to limit temporary accommodation rejected

Spain's left-wing government had planned to tighten its grip on temporary accommodation rentals as a potential means of making more long-term rentals available, but the country's right-wing parties on Tuesday rejected the proposal in parliament.

Spain's plan to limit temporary accommodation rejected

If passed, the new law would have meant that anyone who wanted to temporarily rent a property would have to explain why and provide a valid reason.

For example, students or researchers would have to show the research contract or course booking to show it would only last a few months.

It would have also meant that if more than six months passed or more than two consecutive contracts issued, it will have automatically become a long-term habitual residence instead.

On Tuesday September 17th, the proposal was ultimately rejected in the Spanish Congress, voted against by Spain’s three main right-wing parties – Catalan nationalists Junts, Spain’s main opposition party the PP and far-right Vox.

The aim in part was to try and rectify the controversial Housing Law, which came into effect in 2023.

In most people’s eyes, the legislation has failed as landlords have found several loopholes to get around the restrictions, prices have continued to increase and the stock of rental properties is even more diminished.

READ ALSO: Has Spain’s Housing Law completely failed to control rents?

As a result of the fear of heightened regulation for landlords, many have left the traditional market and turned to tourist rentals or temporary accommodation instead, which are far more lucrative. 

This has had the opposite effect, increasing rental prices instead of stabilising or decreasing them.

READ MORE: Why landlords in Spain leave their flats empty rather than rent long-term

Seasonal contracts and room rentals allow landlords to raise prices every six or nine months and they not subject to the price limitations of the housing law.

The idea of this new law was to try and set the maximum duration of a temporary rental contracts at six months in order to avoid this, but it could have potentially also caused problems for many who need this type accommodation such as students, digital nomads, those living here on a short term basis etc. 

During the debate, Sumar’s spokesperson, Íñigo Errejón, defended the law saying that it is a “solvent”, “fair” and “precise” proposal, which will help “correct an abuse” and “close the gap through which “Landlords can use to avoid the LAU (Urban Leasing Law) and rent regulation”.  

Far-left party Podemos blamed the ruling PSOE for having left this “hole” in the housing law, but also agreed that the restrictions on temporary accommodation were needed to try and rectify this.

READ ALSO: Has Spain’s Housing Law completely failed to control rents?

Junts (Catalonia’s main pro-independence party) and the PNV, the Basque nationalist party, were firmly against it. They agreed that the problem must be solved and that “accessible decent housing was needed”, but raised the situation of students, interns, residents or workers who need housing for flexible periods.

Junts party member Marta Madrenas warned of the harmful effects that this limitation on temporary rentals can have for university cities such as Girona.

Vox and the PP meanwhile argued that they don’t want to help cover up the mistakes made by the left with regards to the Housing Law.

Vox deputy Ignacio Hoces stated that the increase in seasonal rentals has occurred due to the “failure” of the Housing Law, since this has caused rental prices to “skyrocketed” by 13 percent and the supply to be reduced by 15 percent.

Temporary accommodation, referred to as alquiler temporal or alquiler de temporada in Spanish, is considered to be anything that’s longer than a month but shorter than a year, middle ground between short-term and long-term rentals. It is also referred to as monthly accommodation or seasonal accommodation.

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