This is the next step in a process that the previous government began after the elections in May last year and when it was then operating in an acting capacity. An exhaustive review of the aid that was granted almost three years ago was initiated. Since then, businesses have been contacted and asked to present documentation to prove that the aid had been justified.
In May 2021, the regional ministries of finance and the economic model approved the distribution of aid to businesses that requested it. In total, this amounted to 855 million euros, the funding having been provided by the Spanish government. The Balearics and the Canaries were the only two regions to distribute 100% of their allocations.
Letters from the government's business directorate demanding the return of aid started to be sent shortly before Christmas. This caused outrage among the businesses involved and at the College of Auditors. The college had previously described the government's review as "a nonsense".
In November, the college sent a letter to the business minister, Alejandro Sáenz de San Pedro, expressing its "disappointment" with the reviews and asked him to halt the processing of refunds until the situation was studied by a mixed commission to include representatives of the auditors themselves.
The college highlighted its "astonishment at certain stances adopted by the current business directorate". It stated its "total opposition" to the audit of aid, which had the consensus of all bodies who participated in drawing up the decree law that approved the spending in May 2021.
In addition, the college emphasised the unique and unusual nature of the situation that was experienced because of the pandemic. This created difficulties due to there having been "hardly any legal background" for interpreting financial facts.
Anger has been increasing over recent weeks. On Friday, a meeting of auditors was held to discuss a common strategy to follow in the conflict. Also on Friday, the minister contacted the auditors to convey his commitment to sit down and study the issue jointly.
* The aid package from the Spanish government was originally 1,000 million euros; it was subsequently reduced to 855 million.
4 comments
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Funny, I don't think anyone would characterise this government as "socialist" or even "left leaning". But then, whatever we choose not to like is surely because of "socialists". For example, my car had a flat tyre a few weeks back: Bloody socialists.
oouoo oouooBut capitalists don't believe in state handouts so why did they accept it?
What a scam, this has already been paid back in the high rates of inflation caused by the "free" handouts, now they are looking for more. What a bunch of con artists.
Socialists even when they take their hands out of your pocket for 10 minutes and pretend to put something in yours, it comes with an elastic string attached