Tightening The Nóos (10 November)

All this talk of all-inclusives and a lack of winter tourism and flights ruining the paradise island, blah, blah, and one quite loses sight of what really put the “mal” into Mallorca with two l’s. Corruption, and lots of it.

We have been sidetracked these past few months into neglecting the fact that cases surrounding the one-time Balearics president, Jaume Matas, are still going on. Lord alone knows how much this is all costing, but presumably there are special provisions, given deficit requirements, to allow for the payment of an army of investigators.

The current president, José Bauzá, is probably, on balance, quite content for the cases to still be being played out and periodically splashed all over the Spanish press. It might be a tad embarrassing that Matas was his predecessor as a PP president, but Bauzá made a virtue of excluding any candidate implicated in corruption from the spring elections. In the process, he might have hoped to undo all the scandal that has made Mallorca an object of such enormous amusement, but he can’t do much about the elephant in the room – Matas, the gift that keeps on giving.

When you had pretty much forgotten that investigations were still ongoing, out of the blue come revelations of the type that had helped grant Mallorca its deserved status as one of the great centres of comic corruption.

The latest ones involve a minor royal, the Duke of Palma. The royal household has felt compelled to issue a statement that it has no comment to make on allegations being made about him other than to say that it respects the work of the judges. Minor royal he may be, but there is the slight matter of who he is married to – the infanta Cristina.

To cut to the chase, the Duke was at one point the president of something called the Instituto Nóos, an institute for sponsorship and patronage. What the investigators would like to know is why the Matas government, mainly through a body known as Illesport, paid the institute 2.3 million euros between 2005 and 2007. There are questions relating to four invoices totalling 1.2 million euros in respect of the staging of a 2005 forum and to invoices for nearly 450,000 euros that were raised a month before the 2007 elections, which Matas lost.

There was a common theme to these invoices, as the forum and the later 450,000 had to do with a so-called observatory of tourism and sport. At the forum this concept was discussed, whatever it actually meant, but nothing more was heard of it. However, the invoices of April 2007 mention it specifically.

No one seems to quite know what this observatory did, if anything. With the money the invoices generated, the institute made payments of its own, among which were those to companies belonging to one Diego Torres, an “expert in marketing”, who succeeded the Duke as institute president in 2006, and also to a real-estate company run by the Duke.

Of course, there may be a very good explanation for all of this, while the revelations are all the more thrilling for the press as they involve royalty. But what they do, once more, is to highlight the tangled web of government agencies and foundations, especially within the area of tourism, and of other organisations, such as the Duke’s institute, which were associated with them. Of these agencies, mostly all are now defunct, having been scrapped by the last government when the full weight of corruption charges hit the tourism ministry.

Why were there so many, though? And why was there ever any need for an “observatory” of tourism and sport? It may be unclear what its purpose actually was, but it sounds not dissimilar to the government’s own so-called tourism strategy and research agency, Inestur, one of the agencies that now no longer exists. The Illesport agency was in fact a foundation for the support and promotion of sport in the Balearics. It might be argued that it was appropriate for it to engage the services of a specialist operation, i.e. the Instituto Nóos, but then what did it actually do, other than give money out?

The point is that, even if corruption comes to be proven, the real problem was all the various bodies that were set up with seemingly little or no control or idea as to why they were being set up. Tourism, and its associated sport sector, may have had its governmental budget cut, but it is still, as it was under Matas, a goose that lays the golden egg, or should that be the noose that lassooed a golden egg? Only to end up hanging itself. Allegedly.

Any comments to andrew@thealcudiaguide.com please.

Bailed Out: Jaume and the architects

If you needed to find three million euros pretty sharpish, where would you look?

Short of suddenly striking lucky on the Euromillions, chances are that you wouldn’t find it, and that if your necessity for the three million had been to avoid being banged up, then you would now be languishing in a cell. Duly incarcerated, you would also be unable to participate in an hour-long television interview in which you attack an investigating judge, prosecutors and the police. But then you are not Jaume Matas.

The Matas case is extraordinary in many respects, but the very public nature of the accusations and charges and rebuttals and denials makes it not just extraordinary but unreal. And then there is the small matter of that three million wedge which was handed over in the nick of time and thus spared Matas from prison. Where did it come from? That was what the judge wanted to know; you would think that he’d be grateful. There are plenty who will argue, with some justification, that the bail was excessive (and political). Matas found the money, despite the slight inconvenience of the Easter holidays getting in the way. Maybe this has piqued the judge.

The money, it would appear, came via two sources – Banco de Valencia and Arquía-Caja de Arquitectos, a credit co-operative formed in 1983 for the express purpose of providing savings and loans to architects. As such, you can probably understand that questions are being raised as to why it has been caught up in the provision of bail to keep the former Balearics president out of the slammer, even if it did not directly stump up the moolah as there was a transfer to it from the Banco de Valencia. And as for this bank … It is part of Bancaja, an employee of which is Matas’s brother-in-law, himself implicated in the Palma Arena case. The president of Bancaja also happens to be a former president of the Valencia “generalitat” and a friend of Matas.

Despite the not unusual connections and the unease at Arquía, Matas, one would think, had every right to find whatever means he could to raise what was a huge amount. The size of the bond, while indicating the seriousness of the charges, has added to the sense in which a presumption of guilt has been made. To this end, and bringing us to the unreality of the whole episode, Matas went onto local television this week to express his innocence and to have a go at the prosecuting ranks. Fair though it may be for Matas to give his public version of events, in countering that emanating from the judge and prosecutors, one does have to wonder – again – as to  the judicial process. Moreover, the television channel he chose for his interview, IB3, is not entirely without some political colour – that of the Unió Mallorquina party which has been and remains closely associated with the management of the station. The UM is the most natural ally of the Partido Popular, Matas’s party, on the centre-right of Mallorcan politics. IB3 was also the channel on which former UM leader Maria Antònia Munar gave an interview in which she explained her side of corruption charges that she faces.

Other than the kerfuffle surrounding the bail, it has emerged that Matas has challenged the judge to investigate who – Matas argues – falsified documents related to meetings and the ordering of payments. Not only is this crucial, it also serves as a reminder that there may well be two sides to the whole story. Some, such as elements of the local press, seem to have ignored this possibility, preferring to see Matas as having been bang to rights. Possibly so, but possibly not. Let’s not forget this. Matas could have been remanded, but he has not been.

Any comments to andrew@thealcudiaguide.com please.

The Matas Case – Week One

Welcome to the everyday, every week story of corrupt political folk in Mallorca. In this week’s episodes, former Balearics president Jaume Matas came up before the examining magistrate José Castro. First they had to adjourn and then they had to move court room because they reckoned the original room was bugged. Meanwhile, Jaume got annoyed by the fact that he was being called “Jaime”. “Soy Jaume,” he insisted in the best Catalan tradition, albeit that to be strictly Catalan he should have said “sóc”. “Put a sóc in it,” the magistrate might have said, but didn’t.

Jaime, Jaume, did though admit to having paid 400 grand – in black – for work on his house in Palma. But some thought that this might have been a bit of a damage limitation ruse. Demonstrators were in no doubt. “Thieves,” they and their placards cried out when Jaime, Jaume and his (their) wife and lawyer came to court. “Hand the money back,” they demanded. The guys from the press weren’t having any of it either. “Matas wanted to cheat the citizens of the Balearics,” said an editorial in the paper “Ultima Hora”. The prosecutors were also unimpressed, or rather they were highly impressed – by the list of charges they had brought. 68 years they called for. And a 3 million euro bail. Do we hear any higher bids? Strange system that makes these sorts of demands and seems to also make celebrities of the prosecutors and magistrates. Even the left-wing is uneasy that the bail request is because Jaime, Jaume is a politician. The magistrate said he’d pronounce on the bail terms on Monday, when will start another day, another week in the story of corrupt political folk in Mallorca – allegedly and never forgetting that this isn’t actually the full trial.

Undercover in Muro
On a sort of legally related matter and offering a twist to the idea of plain-clothed police, the local plod in Muro are having to go out on patrol in their own clothes because the town hall is apparently not providing uniforms. The mayor is suggesting that it’s all a question of tightening belts, as in the town hall hasn’t got any money (except to buy the bull-ring of course), and that the police will get the clothes if necessary. To which one might ask, what constitutes “necessary”? Bizarre situation.

Any comments to andrew@thealcudiaguide.com please.

Murky Waters – Jaume Matas and Mallorcan society

The former president of the Balearics, Jaume Matas, is finally up before the beak to answer allegations related to public money that seemingly went AWOL, or into someone’s pockets, during the project to build the Palma Arena velodrome. The spend on the project, which was undertaken during Matas’s second period as president, was some 100 million euros, 70 million more than was originally budgeted for. Matas is in court with his wife, his brother-in-law and the former head of the GESA-Endesa energy company; all of them facing charges.

While the Unió Mallorquina cases have tended to dominate the corruption column inches, the Matas case is arguably the most serious, given that it involves a former president. Matas was also a one-time member of the national government, that of José María Aznar. The charges against Matas are complex, and I have no intention of even beginning to relate them, but some of them have been delicious in their reporting, as with the inventory of luxury items in his so-called “palacete” in Palma (13 November, 2009: Finding Treasure In The Dark).

The proceedings got under way on Tuesday, only for there to be an immediate adjournment as the prosecution had introduced new evidence from phone taps, something which UK readers might find interesting; Matas’s lawyer is arguing against their being submissible. But before appearing in court, Matas had to run the gauntlet of the media and demonstrators. One of the odder aspects of the court appearance is that it, together with others involving prominent politicians, has made a celebrity of a security guard who accompanies the accused. This is José Nieto, aka “Primo”, a bull of a bloke who is a kick-boxing champion. Not only has he been interviewed by the press, he was also depicted – in cartoon format – on a demonstrator’s placard with the words “give it to him, Primo”. He has become the star of the show.

While much of the reporting will concentrate on the technicalities of the case and on the individuals, there is an altogether more fundamental issue that needs to be addressed – why does it happen? Corruption, that is, or the circumstances that give rise to alleged corruption. The facile answer is that all politicians are corrupt, or something like that. An “expert” reckoned the other day that corruption was some sort of psychiatric condition. Maybe it is. But why have the Balearics, and Mallorca most obviously, come to assume the position of title-holder in the Spanish corruption league? Other parts of the country are similarly blighted, Valencia for example, but it is important to go behind the cases and understand the dynamics that foment the island’s corruption.

When Matas first came into the regional government as economics minister in 1993, he was asked about corruption. His response was to quote the Spanish philosopher José Luis Aranguren. “It is not politicians who are corrupt, but it is society that is sick.” The words are highly relevant. Without knowing the quote (that appeared in “The Diario” on 21 March), I said as much myself some weeks ago – “All power may well indeed corrupt, and inappropriate behaviour by politicians may indeed be taken as a signal to others in local society to misbehave, but I would argue that it is this society that begets the politics of the island, not the other way round” (2 March: The Scream). I have also said that the obvious insularity of Mallorca and its networks and families can be highly influential in creating those circumstances in which corruption can occur.

The logic of this, and of Matas’s quote, is troubling, as it can be interpreted as making politicians charged with corruption appear to be victims of society. This would be insulting to politicians who act honourably, but the logic does need to be taken account of as what it implies is that Mallorcan politics and democracy cannot be practised in a correct way. Ever. Without a change in the culture of society, products of which are the local politicians.

In the reporting that does go behind the case, the emphasis has tended to focus on the individuals. Character assassination has become flavour of the month. It is easy to do this, and while the corrupt cannot expect a sympathetic hearing, the concentration on people’s flaws cannot be complete or entirely comprehensible without an analysis of the society that brings them about. To do so is to enter murky waters, but it is something that needs to be done.

Any comments to andrew@thealcudiaguide.com please.

January Came

The autumn fairs season well under way, planning for the winter fiestas also starts. The most spectacular of these is Sant Sebastià in Palma in January. Palma council has announced the ents, the music acts that will play in various squares around the city. In 2008, the organisers branched out. There was a bit of a hiccup surrounding Earth Wind & Fire who weren’t really Earth Wind & Fire – more Sod Breeze & Damp Squib – but there was an ELO incarnation, all part of a certain internationalisation of the event, itself with the aim, or so it was said, of broadening appeal and attracting more overseas visitors. 

Unfortunately, economic reality has bitten, and the council has had to trim its budgets. The town hall deserves some sympathy – all the ents are, after all, free – but it is a shame that this international element will be missing this January, as it was this year. Sant Sebastià should be the focal event for whatever tourism can be attracted in the fallow month of January, and while it does attract some, a more adventurous line-up might help to boost numbers. For this coming January, the acts read rather like many a Mallorcan fiesta, usual suspects such as Tomeu Penya and a boasting as to how many of the bands will be performing in Catalan. So much for international appeal. Perhaps the tourism authorities might like to consider diverting some of the money they spend on questionable winter promotions to Sant Sebastià and giving it a real boost. Not, though, that this would help the north of the island. But if winter tourism is going to be primarily Palma-centric, then so this fiesta should be given more of an official leg-up.

While it’s fair enough to promote Catalan musicians, one of the great advantages of English-singing acts is that they contribute to a learning of English. Music, as much as other forms of communication, is an effective conduit for stimulating language interest and learning. With this in mind, it is interesting to hear of a report from the Oxford University Press into the study of English and English ability among the people of the Balearics. One out of three have never studied the language, and of those who have, the standards are not necessarily that high. Yet, a great majority of islanders recognise the importance of English. Which is as it should be, not because it makes expats’ lives easier, but because of the fundamental importance of the English-speaking tourism market and the opportunities that the language affords. 

 

Twisting the knife

How much would you spend on a loo-roll holder? Would you even bother? There is something to be said for the loo-roll holder being a largely superfluous item of bathroom furniture. But assuming you might decide that today is the day to go out and acquire that much-needed new holder, would you divvy up 319 euros? Probably not. This, though, is what one such holder in the house of Jaume Matas (following on from yesterday) cost. Twisting the knife indeed, and it was the “Diario” doing so in an hilarious piece about holders, loos and bidets chez Matas. And by the way. Do you know what the Spanish is for lavatory? No? Well, it is “váter”. Think about it.

And if not the former president getting it in the neck, then it must be the recently departed owners who never were of Real Mallorca. Now that Alemany is back in charge, his chaps are giving the books a good once-over. He has lodged a “denuncia” against the Martí Mingarro clan, and one of the slight anomalies to come to light is that the club’s credit cards were used for visits to what the press terms “locales nocturnos”, which may cover a multitude of sins or may not.

Finding Treasure In The Dark

How about this little lot?

Luxury materials, such as oakwood floors and bathrooms of marble; thirty paintings and other art works; leading brands of audio and visual equipment, including eight televisions; a hundred or so handbags; 150 or so suits; 50 pairs of shoes. 

And then this lot.

Polished granite kitchen; more marble in bathrooms; sound-proofing; anti-vapour systems; a hydromassage system; towel radiators in all bathrooms; ambient thermostat for heating and hot water; air-conditioning for cooling and heating; parabolic antenna and television in the lounge, kitchen and bedrooms; TV sockets in the lounge, kitchen and bedrooms; various security and alarm systems; safe; electronic video entrance system; automatic shutters.

For the most part, sounds like an estate agent’s sales pitch for some luxury accommodation. None of it necessarily that unusual. Only when you add on some other items, like documents relating to alleged cases of corruption by some well-known politicians and a copy of a “denuncia” by the wife of one particular well-known politician, accused of mistreating her, do you begin to understand to whom all this relates. Or maybe you don’t. You might of course have been fooled by the shoes. No it’s not Imelda Marcos. It is the ex-president of the Balearic Government and his wife. The first list relates to the so-called “palacete” in Palma, the home of Jaume Matas and missus, where these documents were discovered; the second to an apartment in Madrid. Where the former is concerned, there is another list, a lengthy one of various renovations that were carried out, mostly by a constructor from Sa Pobla. The total cost of the renovations at the palacete, it is said, amount to some 2 million euros. There are, apparently, invoices for a mere 5% of them.

These inventories, itemised in different reports from the “Diario”, have come to light as the consequence of police raids on the Matas’s properties. In an operation named “Buckingham” (not sure why, maybe it has to do with the “palacete”), the Guardia, investigating accusations of corruption levelled against Matas, have been turning over the residences and bringing in art and architectural experts to assist in coming up with the values.

Now you might say, well, he’s a politician and he probably earned a fair wedge. Possibly so, but one presumes that the anti-corruption squad believes that there might be a slight discrepancy between income and property value, to say nothing of those invoices which total only 92,000 euros. 

Matas is under suspicion with regard to a corruption case involving the Palma Arena velodrome, one of any number of major works that were initiated during his presidency from 2003 to 2007. It may be interesting to note that Matas, originally, was a tax inspector, while he was once the head of the Hacienda in the Balearics, during which time there was a previous spate of corruption cases.

The police action will of course continue, but if it turns out that Matas is indeed guilty, and let it be stressed that he is still innocent, then the repercussions could be enormous. This is the former president of the regional government, after all, one sitting on what, for the investigators, is a treasure trove of discovery. The worst of the repercussions would be what it says about the practice of local democracy, about the system of favours and about the sheer endemic nature of dishonesty in local society. Matas is just the latest, but if he has done wrong, he would be the biggest of the local political fish, about which there is more than a hint of the one-time sham system of democracy that operated in Spain in the nineteenth century, that of the “cacique”, the political boss who delivered the required results as part of a system of favours given and received. 

There’s nothing new under a Spanish sun.