The former king with King Felipe. | Efe


Former king Juan Carlos's reputation has been further tarnished by reports that he held millions of euros in offshore accounts. In response to these reports, King Felipe has renounced any future inheritance from his father.

In what was a telling statement from the Royal Household, the announcement referred not just to relinquishing the right to inheritance but also to any assets, the origin of which may not be in accordance with the law. King Felipe has also denied having any knowledge of being a beneficiary from what has been reported as being an offshore fund valued at 65 million euros that was donated to Juan Carlos by Saudi Arabia.

There are in fact two foundations with funds - one called Zagatka, the other Lucum - and the statement from the Royal Household adds that Juan Carlos wishes it to be known that he had never informed King Felipe about either of them.

The account for the Lucum Foundation, according to a Sunday Telegraph report, was set up in Panama and was tied to a bank in Geneva. The Zagatka Foundation has been investigated by Swiss prosecutors, and it was knowledge of this that led to calls in Spain's Congress for there to be an investigation into the former king's business affairs. Such an investigation, as far as Prime Minister Pedro Sánchez's PSOE party is concerned, would be unconstitutional, an assessment which has not pleased Unidas Podemos, PSOE's partners in the government.

Earlier this month, the anti-corruption prosecution service in Spain let it be known that it had asked the Swiss prosecutor's office for information regarding a donation from a Panamanian foundation to the former king's friend Corinna zu Sayn-Wittgenstein (née Larsen). A Swiss newspaper has claimed that when the former king's Botswana hunting scandal erupted in 2012, a bank requested him to withdraw funds. This was money allegedly sent to an account in the name of Corinna Larsen at another Swiss bank based in the Bahamas.

Juan Carlos's relationship with Corinna Larsen, although it was typically skirted around, was one reason why his reputation became tarnished. The hunting scandal was most definitely another and was one for which he made a public apology. From that moment on, his abdication seemed as if it was just a matter of time, and he announced it in June 2014.

Since then, he has rarely been seen in Majorca, which was his choice for the Royal Family's summer holidays.

As well as King Felipe having renounced his personal inheritance, he has stripped the former king of his annual stipend of around 200,000 euros.