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Portugal's PM investigated in illegal payment allegations

passoscoelho2Did Passos Coelho receive €5,000 a month from the company Tecnoforma between 1995 and 1999?

A complaint has been lodged that alleges that the current PM, while deputy party leader and electing not to receive income from other sources to receive an anhanced salary, received a €5,000 per month consultancy fee for advice as to how best to obtain funding to train technicians at municipal airports.

An investigation into Tecnoforma's accounts has started but is hampered by the fact the business has closed down.

Earlier this year the Attorney General, Joana Marques Vidal, received allegations about covert payments from Tecnoforma to Pedro Passos Coelho which, if true, will have amounted to €150,000 paid from a Banco Totta & Açores account, according to the written allegations.

The PM’s tax records show no such income. If the payments are proved to have been made he could be charged not only with illegally receiving payments but also with failure to declare them for income tax purposes.

The case now is being investigated by the Central Department of Investigation and Penal Action (DCIAP), which recently has demanded that Tecnoforma's administrators hand over its accounts even though the business went bust.

According to legislation that existed at the time, and still is in force, MPs who accept top political jobs, or ‘exclusive functions’ are forbidden to accept other income from the state or from private companies or associations. As compensation they receive an enhanced monthly salary.

Passos Coelho has neither denied not confirmed that he received the money but despite having been asked numerous times he always has responded through his office that he has not been contacted as part of any investigation and that "if this were to happen, naturally he would collaborate."

His assertion that he always has complied with his legal obligations may not be enough to keep him out of court. This is a resigning issue and Coelho would find it impossible to lead the coalition if charges are brought.

In November 2012, in an email response to several questions from Portuguese newspaper ‘Público,’ Passos Coelho left unanswered the specific question as to whether Tecnoforma "ever remunerated" him for services rendered as Chairman of the Conselho de Fundadores do Centro Português para a Cooperação (Board of Founders of the Portuguese Centre for Cooperation (CPPC) - a non-governmental organisation created by Tecnoforma, set up with the aim of obtaining vocational training contracts for the company.

Passos Coelho has never answered this key question, nor has his office on the PM’s behalf.

Público journalists contacted the founder and main shareholder of Tecnoforma, Fernando Madeira, who in 2012 did not want to make a statement about any such payments. He says now, "I am convinced that he received something, but I can not talk about amounts ​​because I can not prove anything.”

The businessman, 70, repeated several times that he is convinced Passos Coelho was getting paid, adding that Passos Coelho was not there “just for his pretty eyes.”

Fernando Madeira said it would be hard to prove anything "because the administrator who ran the financial part was Dr. Manuel Castro who has since died."

Fernando Madeira sold his shares in the company in 2001 but was never paid and had to go to court to get his money, in the meantime the company was declared bankrupt and was wound up. Madeira now just wants “to forget the whole thing”but may yet be called as a witness if the state has enough evidence to prosecute and maybe bring down the Prime Minister in what would be the acid test of the impartiality of justice in Portugal.

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Comments  

+4 #6 Benny 2014-09-21 13:16
As "Peter Rabbit" was involved with Miguel Relvas in Tecnofoma & it is now proven that Relvas is no better than a con man one must start to belive that the accusations a true.
It's now up the the PT Legal System to carry out there investigation without interference from the political elite.

As if that will ever happen :roll:
+3 #5 Dennis. R 2014-09-20 17:08
What is so depressing if you are from a more developed culture is the claim by all these 'politicians' that any attack on them is political. Not an investigation by the legitimate authorities into wrong doing.

The assumption hidden behind this being that 'I had always thought us politicians and VIP's were above the law'

So - we get this from Menezes 'o ex-autarca de Gaia
"revolta" and "infâmia". Yet 120 million is being searched for in dodgy waste contracts - presumably spinning out from the Face Oculta waste contract case.

And, as well all know - in Italy the waste industry is run by the real Mafia. Who 'runs' it here ? the quasi Municipal Mafia's !

Where is there the slightest link to British public administration ? No politician surely is signing the municipal cheques ... therefore the municipal treasurers and accountants must be investigated too.
Oh ... duuhh. They are employed because of their politics !!!
+4 #4 atlasfrog 2014-09-20 17:07
The credibility of Portuguese politicians is very low right now, and the justice systems seems incompetent to bring any convictions.The general voting public need to regain some respect for the whole system. If the state can prosecute the those who have committed corrupt crimes in the past years and recover the stolen monies, it would be like a breath of fresh air and restore some faith in the leadership of the country. Just a dream!
0 #3 KAREL 2014-09-20 11:56
Are you surprised ? Didn't you know that in Portugal the more you "cheat" the bigger HERO you are and how greater the REWARD will be in terms of job or and "compensations". This is definitely a far more corrupt country than any other country in the world. Unfortunately the majority of "poor guys" become poorer every day and the "big guys" become richer every day. As the rich control the poor the situation can only become worser and worser and that is what we experience day after day don't we ?
+5 #2 Ana P 2014-09-20 11:03
:roll: after they have investigated, I hope they don't 'forget' about getting the money back. My vote is to let the €150,000 & interest/fines go to the food bank.
+3 #1 Gilda 2014-09-20 09:36
There is an odd link also to Luis Marques Mendes - an ex-top man of the PSD and now a TV commentator.

Something to do with Passos-Coelho being a 'protege' ... and as always, his old mate Relvas is buried in there.

What is abundantly clear is the parody of Britain - so having business people supposedly 'volunteering' their time and expertise to help others forward with business ideas. The administration being non-profit and so publicly funded.

But this being Portugal it is just a dishonourable empty front to redirect public funds off-shore.

Much more Burundi than Britain. All those years ago - from a list of countries, is it not obvious now that some Portuguese muddled the 'R' with the 'U' ?

So causing millions of us Portuguese so much unnecessary angst when actually the average Burundian would be proud to know of the comparison ? And then quickly have his hand out for EU support ?

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