European Prosecution Investigates Alleged Pandemic Contract Fraud

The European Prosecution Office is investigating contracts worth over 16 million euros signed during the early phases of the pandemic by the Canary Islands and Balearic Islands health services.

This move follows allegations of misconduct tied to these contracts, specifically directed towards the involvement of Koldo García, a former advisor to ex-Minister of Transport José Luis Ábalos, in a scheme for supplying masks.

The contracts, signed between April and May 2020, ostensibly facilitated the procurement of millions of masks amidst the COVID-19 crisis but are now under scrutiny for irregular payments and potential influence peddling.

The investigation has been initiated upon receiving a complaint and subsequent verification of pertinent facts from Spain’s Anti-Corruption Prosecution and the National Audience, who are examining the actions of seven members of the so-called ‘Koldo scheme.’

The European entity’s involvement comes after it was determined that these contracts were financed in part by EU funds, prompting a closer examination of the transactions and the roles various individuals played within the procurement process.