The economic disaster that heavily indebted Spain has found itself in is clearly a consequence of Spain joining the euro

 

The economic disaster that heavily indebted Spain has found itself in is clearly a consequence of Spain joining the euro, insists economist Dr. Manuel Balmaseda. When Spain joined the euro, the EU Central Bank settled overly low interest rates, resulting in Spain receiving “enormous amounts of credit which increased Spanish indebtedness, particularly foreign”. Cheap money created financial bubbles, for instance in real estate. When the 2008 economic crisis came, the bubbles burst, many companies went bankrupt and the whole overheated economy blew up, explains the professor. Madrid now needs more flexibility to curb deficit as the EU introduces new rules on budget discipline. Spain appears to have become the first country to test them. Madrid is desperately trying to negotiate a higher 2012 fiscal deficit target than that set by the European Commission. The austerity measures taken by the new conservative government of the eurozone's fourth largest economy will bear no fruit, believes Dr. Balmaseda, “because the problem is in the euro.” “There are great expectations that a new government is going to arrange the problem,” the professor says, stressing that the honeymoon of the Spaniards with the new government will not last for more than six to nine months. Dr. Manuel Balmaseda, Professor at the ICAI School of Engineering, is certain that the futures of Spain, Portugal, Greece and Italy lie outside the eurozone. He also believes that the countries remaining in the eurozone will not be very happy without their breakaway partners. Exit from the eurozone would mean a default for Spain, which is unacceptable for French and German banks that hold up to half of Madrid’s €900 billion foreign debt. These banks are interested in returning the money, whatever the cost for Spaniards. The professor believes that leaving the eurozone does not necessarily mean leaving the EU. “Nobody would chase Spain out of the EU,” he says. Dr. Manuel Balmaseda believes that the eurozone crisis is not just caused by governmental overspending. “The origin of the problem is the euro, the lack of competitiveness that the euro brought to Spain”. Spain is following the path of Greece with a two-year delay, believes the professor, because more austerity measures and further cuts of public spending are only pushing countries like Greece and Spain deeper into recession.

Mercadona Rocked As Own Label Linked To Canine Deaths

 

Mercadona is in the middle of a public relations disaster after its ‘Compy’ own label dog food brand was linked to the deaths of several pets across Spain, after having caused kidney failure in the animals. . The deaths were initially recorded by pet owners in Andalucia, Murcia and Alicante, but new reports have claimed that similar cases have been found along the Costa del Sol. Several pet owners insisted that the deaths were caused after their pets ate the own label product, and following intense pressure, Mercadona has removed two variants of the ‘Compy’ range from select stores. The chain said it is now studying whether there indeed is a connection between the product and the deaths. It would not comment on whether the problem was caused by a recent shift in packaging of the product from tins to cartons. Mercadona added: “At this stage we have only removed the product as a precaution and we are waiting for the results of the analysis. We do not know with any certainty if the food is to blame”.

Blues legend Gary Moore died after drink binge

ROCK legend Gary Moore died after bingeing on enough alcohol to put him nearly eight times over the drink-drive limit, tests in Spain have revealed. The guitar ace (58) suffered a heart attack brought on by the massive amount of alcohol that he knocked back at the start of a sunshine holiday in Spain's Costa del Sol, the studies showed. No traces of any illegal drugs were found in his body. But he had 380mg of alcohol per decilitre of blood in his system, which is more than 30mg the amount associated with fatalities. And it was just short of the 416mg that Amy Winehouse had in her body when she died. Tests revealed that dad-of-three Mr Moore, found dead in bed at a luxury hotel on February 6 last year, had abused alcohol for years. Former Thin Lizzy guitarist Mr Moore died at the Kempinski Resort Hotel in Estepona hours after starting a six-day holiday with his new partner.

Spanish government will try and secure the 'gold on the Rock'

 

With the Odyssey gold back in Spain, the Spanish keep referring to more gold that remained in Gibraltar. It is being reported in Spain that the Spanish government will try and secure the 'gold on the Rock' through what they term a European order. They say that although Gibraltar likes to play a dual role, it is in fact part of the UK and thus Madrid is knocking on the UK's door to get them to urge Gibraltar to hand over the gold. Bilateral talks are said to be taking place. It is said that there are 59 artefacts still in Gibraltar, apparently stored by Odyssey. A Spanish heritage official was critical of the way the Oddysey gold left for the USA via Gibraltar,which is a joint sovereignty airport, adding that it was far from being dignified. This happened in 2007, a year after the signing of the Cordoba Agreement. The British Embassy in Madrid has confirmed that it is in touch with the Spanish foeign ministry, saying it was not clear if part of the consignment was in Gibraltar. Two military planes laden with 17 tons of silver and gold coins from a Spanish warship that sank during a 1804 gunbattle with the British is now back in Spain. It followed a 5-year legal battle between the Spanish and the American Odyssey company. On Thursday the Peruvian government made an emergency appeal to the U.S. Supreme Court seeking to block transfer of the treasure to give it more time to lodge its claim as the rightful owner of the gold. Peru says the gold and silver was mined, refined and minted in that country, which at the time was part of the Spanish empire. But the appeal obviously arrived too late, as the gold was flown to Madrid by the two Spanish military aircraft.

Tarragona village wants to grow marihuana to get out of the recession

 

village in Tarragona has come up with a way to beat the recession. They propose to plant marihuana. A smokers’ club in the village of Rasquera and say the plantation would create jobs. They say they will not sell it, rather it will be for the use of the club members and also for ‘therapeutic ends’. A cannabis association in Barcelona that uses the drug for therapeutic reasons has offered to pay 36,000 € to the club and sign a deal with the Town Hall, and then promises to pay 550,000 € a year each July for the land rental, legal and judicial costs, and security which make up the project, noting the Town Hall won’t have to pay a penny. For now the local Town Hall is to hold a meeting and vote on Wednesday to decide on what to do; they have requested a report to see if the idea is legal or not. The Mayor of Rasquera, Bernat Pellisa, told the EFE news agency that they are studying the proposal which he said was ‘developed and an opportunity, and certainly not frivolous’. There are about 1,000 inhabitants in the village, and while they admit they could never have imagined it, the crisis is such they say they are prepared to grow whatever is needed.

Renounce your British Citizenship?

Britain ignores its citizens who live abroad. James Preston, a businessman in Spain angrily declares he will renounce his British citizenship. Yet he feels sick at feeling forced to do so. Why does he do it? He is denied representation at Westminster (the vote!) because he has lived outside of Britain for more than 15 years. He has fought before the High Court his demand to be represented as a Citizen in the British seat of power – the Parliament at Westminster. His case and his appeal have been rejected. James Preston resents having the door slammed in his face. Britain denies him the basic democratic right of representation. He writes “We have concluded, therefore, that the contract between the State and my wife and I – the citizens – has been broken. We moved to Spain, an EU country, to represent British interests and find work, and not continue to claim unemployment benefit.” James Preston in his despair, intends to renounce his British citizenship and take out Spanish citizenship. Britain, in this, acts as a dictator State which regards the citizen abroad as ‘subjects’ and not as free people with democratic rights. The Government of Britain will not listen to the citizens abroad but still expects their obedience to the laws of Britain. These are strong words but are they not true? James Preston, is undoubtedly proud of his British (English) Ancestry which he can trace back for over 400 years. He left Britain in 1995. He was then unemployed but found work with a British company in Madrid, and has worked for British companies ever since. He stills considers his soul is British, but in Spain you cannot hold dual citizenship. Because Britain will not grant him representation in Parliament he therefore feels that he has no alternative but to turn his back on Britain. But still the clammy mechanical claw of British bureaucracy might well hold claim on his estate at his death. British Tax Law could still claim to his dying day that he is ‘domiciled in Britain’, because it says he will retain his British domicile of birth! You may think this outrageous and you are right to think so. It is difficult to cut yourself loose from the British State if you are born British. The fact that his children are educated in Britain, and extraordinarily, the very fact that he has taken a case before the High Court in London to claim the right to vote displays in the eyes of the Revenue his ‘attachment’ to Britain. It is incredible but true that for these reasons the estate he leaves could well be subject to taxation by the British State, even though he would die a Spanish citizen. Mr. Preston also tells me that his children do not have full British Citizenship but are considered as 'Spanish of British descent' because they were born in Spain. If they had been born in the UK they would be fully British. If they then marry British spouses and have children born outside of Britain, his grandchildren would not be British citizens at all. But if they were born in the UK they would be British. It is a crazy stupid mixed up world. It is the last straw that, after having been insultingly refused the right to Representation, Britain could still claim a pound (£) of ‘flesh’. It beggars belief that Britain, claiming to lead the world in Democracy so treats its own citizens who dare to live abroad. It cannot desire, can it, that every British Citizen living abroad should renounce their citizenship? Should not Britain be proud of us who live abroad? To our neighbours we are the image of Britain. Why are we ignored by our own country? We want to be ambassadors for Britain, but Britain does not want us – except perhaps our money.

Prison and no bail for Moroccan man who planned to poison tourist complexes in Spain

37 year old Moroccan man who was arrested in La Línea de la Concepción because of alleged links to Al Qaeda has been ordered to prison without bail. Police now believe that Abdellatif Aoulad Chilba, who is married to a Spanish woman, was planning to poison the water in tourist complexes in the area. It has been revealed that a phone call he made to his wife, who lives in Girona, on the 12th of this month, sounded as if it was a goodbye. National Court judge, Fernando Grande-Marlaska, has charged him with belonging to a terrorist organisation and for conspiracy to carry out a terrorist act. The Moroccan had expressed his wish to carry out such an attack against the ‘infidels’ in several internet forums which were also being used to recruit new members for different Islamic cells. It was on one such forum that he asked for the formula for a mortal venom. One person responded with how to produce a botulism toxin.

Spain and Morocco to establish joint police stations in Tangiers and Algeciras

 

Spain and Morocco have agreed to open joint commissioners’ offices in Tangiers and Algeciras from May. The interior ministers from both countries gave the announcement on Tuesday in Rabat. Jorge Fernández Díaz and his Moroccan counterpart, Mohand Lanser, did little detail about the composition of these ‘centres of police cooperation’. Morocco is the first country outside the EU with which Spain has come to such an arrangement. There are already similar offices established with France and Portugal. The talks between the interior ministers today centred on illegal immigration, organised crime and drug trafficking. Fernández Díaz underlined the ‘support’ of the Spanish Government for the process of ‘political and democratic reforms which are being brought in by King Mohamed VI’ in Morocco, and described them as ‘an example for the Arab world and many other countries’.

Four members of 'Anonymous' arrested in Spain

 

National Police has arrested four members of the Anonymous collective in Spain as part of an international operation against cyber-crime. Two of them are currently in prison thought to be behind DDos attacks, and the other two have been released. They are allegedly linked to attacks on the UPyD webpage, as well as for revealing personal data from the GEOS security personnel. A man known as ‘Thunder’ or ‘Pacotron’ was F.J.B.D. arrested in Málaga, J.M.L.G. known as ‘Troy’ was arrested in Madrid, J.I.P.S was also arrested in Madrid with a 16 year old close collaborator, J.M.L.G. thought to be part of the international hacking group known as ‘Sector 404’. 25 computers have been impounded along with hard discs and other storage devices, following four searches in Spain and these are now being analysed. The case has resulted in two servers being blocked in Bulgaria and the Czech Republic and has developed with the help of Interpol.

Search for a lorry driver after man and his niece are found dead in Zafra

The Guardia Civil are searching for a lorry driver following a double homicide in Zafra, which they consider was the settling of scores. The family of the man shot dead, a businessman Manuel Borallo, along with his niece, Verónica Gordillo, say that the crime could have been committed by a lorry driver from Algeciras whose whereabouts are now unknown. It’s thought however that he could have been in Zafra when the crime was committed in an industrial estate on Monday. The dead businessman had denounced the lorry driver to the Guardia Civil previously for using his company’s name without permission and also for using lorries with no ITV test or insurance. It seems the lorry driver had travelled to Zafra on Monday to ask for explanations. The only thing the family know is they were talking by phone with the niece, Veronica, when some bangs were heard and the line went dead. They say the last thing she said was she had to go because the man had come to see the papers. An autopsy is being carried out on the two bodies in the Anatomic Forensic Institute in Badajoz.

Son-in-law of King Juan Carlos of Spain admits he defied orders in corruption trial

 

The Duke of Palma, the husband of the King's youngest daughter Cristina, appeared in court in Majorca over the weekend, subpoenaed to give evidence in a case that has turned the spotlight on Spain's royal family. The Duke, a former Olympic handball medallist who received the title when he married in 1997, has stirred latent antimonarchist sentiments in Spain with the suggestion that he used his royal influence to feather his own nest. The Duke, 44, is implicated in a case that alleges the embezzlement of public funds through the Noos Institute, a non-profit organisation that arranged sporting and cultural events for the regional governments of Valencia and the Balearics, and which the Duke was chairman of between 2002 to 2006. Prosecutors believe up to 5.8 million euros could have misappropriated and have uncovered evidence of funds being squirrelled away to offshore accounts in Belize, Luxembourg and the United Kingdom. Under intense questioning the Duke conceded the King had ordered him to stand down as chairman of the Noos Institute in 2006, shortly after questions were raised over a 1.2 million euro (£1m) contract from the Balearic government.

To cut the deficit almost four points in one year would be a true depressionary shock for an anaemic economy, made worse by the requirement for banks to mark their real estate losses to market prices

Spanish revolt brews as national economic rearmament begins in Europe - Telegraph

Though he swept into office as an apostle of orthodoxy, Mariano Rajoy has since delved into Madrid’s ghastly accounts and concluded that it would be "suicidal" to try to slash the budget deficit from 8pc of GDP to 4.4pc of GDP this year, as demanded by Europe's fiscal Calvinists. Such a policy would require a further €40bn or €50bn of cuts and accelerate the downward spiral already underway, beyond the 1.7pc contraction expected this year by the International Monetary Fund. The unemployment rate would rise to well over 25pc with six million out of work by the end of the year, equivalent to 30pc under the old definition used in the last jobless crisis in the early 1990s. A study by BBVA of 173 cases of fiscal squeezes in OECD countries over the last thirty years concluded that demands on Spain are almost unprecedented. They found only four such cases, and three were offset by devaluations. The fourth was Ireland in 2009. The country crashed into slump, culminating in a 54pc fall in Dublin house prices. There is near unanimity across the political spectrum that drastic pro-cyclical tightening at this stage is unwarranted and dangerous. Josep Borrell, ex-president of the European Parliament and the voice of Spain's pro-European establishment, said such debt-deflation risks pushing the banking system over the edge. "To cut the deficit almost four points in one year would be a true depressionary shock for an anaemic economy, made worse by the requirement for banks to mark their real estate losses to market prices."

Spanish duke quizzed in corruption probe for second day

Spanish King Juan Carlos's son-in-law Inaki Urdangarin was questioned Sunday in court for the second day in a corruption case that has rocked the royal family. The 44-year-old former Olympic handball player, who acquired the title of Duke of Palma when he married the king's youngest daughter Cristina in 1997, is suspected of embezzling public money paid to a charity under his control. He has denied any wrongdoing. Urdangarin, who wore a blue suit and green tie, briefly greeted reporters as he arrived by foot at the court in Palma on the island of Majorca accompanied by his lawyer but made no statement. "I am appearing today to demonstrate my innocence," he said Saturday when he arrived at the court for his first day of questioning as about 200 protesters yelled and jeered. "I have carried out my responsibilities and taken decisions correctly and with total transparency. My intention today is to clarify the truth of what happened. I am convinced that my declaration today will help to do so." Urdangarin is suspected of having siphoned off money paid by regional governments to the Noos Institute, a charitable organisation he chaired from 2004 to 2006, for staging sporting events and conferences to several companies under his control. During Saturday's closed-door hearing, investigating judge Jose Castro's questions to the duke focused on the workings of companies involved in the case, said a court official who asked not to be named. The duke made clear during his testimony on Saturday that his wife had nothing to do with his business dealings, the duke's lawyer Mario Pascual Vive said. "He continues to state this and I understand that this was made clear," he told reporters outside the courthouse on Sunday. The case implicating Urdangarin is the first major scandal to touch Juan Carlos's family. The king is credited with guiding Spain to democracy following the death of dictator Francisco Franco in 1975 and is widely respected but the affair has raised indignation at a time when Spaniards are suffering the effects of tough spending cuts and an unemployment rate of nearly 23 percent. The majority of Spaniards, 61.1 percent, believe the duke is guilty, according to a Sigma Dos poll made public Saturday by private television Telecinco. Only 7.4 percent feel he is innocent with the rest undecided. The poll also found that a significant number of Spaniards, 43.7 percent, believe the scandal puts the survival of the monarchy in Spain at risk. Juan Carlos has sought to distance himself from the affair and in December the royal family suspended Urdangarin from official engagements. But late last year the palace confirmed reports that the king in 2006 ordered Urdangarin to step down from his job at the Noos Institute, leading some to question the monarch's handling of the case. "Juan Carlos, if you knew why did you keep quiet?," read one sign on display at the protest held outside the court on Saturday. The court hearings are part of a preliminary investigation into the case, in which Urdangarin is a suspect along with former associates. Once the judge has finished questioning all the witnesses and suspects in the case, he will decide whether to order a trial and charge the suspects, or drop the case. The judge has not indicated when he will wrap up questioning. Since 2009 the duke, his wife and their four children have lived in Washington, DC, where he works for the Spanish telecoms firm Telefonica.

Spain’s barter economy wins followers in grip of crisis

It is 10.30am on a chilly winter day in central Madrid and retailer Emanuela Scena is opening up for business. Her shop is one of several offering second-hand goods that have sprung up in Spain’s capital during the economic crisis and is packed to the rafters with clothes, books and electrical equipment. However, unlike the others, it doesn’t take cash. It is part of a barter economy in goods and services that is gaining ground as the country tips into recession and an already sky-high unemployment rate inches up. Finding different ways of generating business has also inspired stores in two towns to start accepting the peseta again, encouraging customers more than a hour’s drive away to root through cupboards and drawers for a currency they thought they had surrendered for good in 2002. “When we started [in December 2010], Spain was already in crisis. At first people didn’t like the fact that everything we were exchanging was second-hand, but now they understand,” Scena said. The store, Abrete Sesamo (Open Sesame), now gets up to 20 customers a day swapping goods for points they earn by bringing in items of their own and paying a small subscription fee. People can also buy points just with euros, “but they’re more expensive that way because we want to encourage bartering,” Scena said. As a storeholder, Scena is an exception in a small, but growing parallel economy that is being fueled mainly by a clutch of Web sites, paid for by advertising and offering platforms for the cash-free exchange of everything from language classes and dog-walking to furniture and cars. It has also encouraged discounting in Spain’s residential property market, which collapsed in 2007 when an asset bubble burst, saddling banks with a mountain of toxic loans and making them less inclined to issue mortgages to new customers. PROTECTING CASHFLOW Sabino Liebana, whose company atodatinta sells printers and accessories via the Web, is part of the expanding business-to-business barter community. During 2010, he paid the monthly rent of 600 euros (US$802) on his Madrid office with goods instead of money. “It was mostly printers and inks, and a few computers,” he said. “The landlord rented at the same price to me as to his other tenants. I gave my products to him at a discount, but never below the cost price.” He was happy to take the hit, he said, because it meant he could protect his cashflow better. “Because of liquidity problems I think it [bartering] is something that will be used by more and more firms, especially in the service industry,” he said, adding he would “rather not say” how much profit he made last year on sales of 500,000 euros. He has made about a dozen cash-free transactions in the past six months, mostly for advertising and Web design work and often via the Barcelona-based exchange portal acambiode.com. Founded in Spain in 2001, the site covers most of the Spanish-speaking world plus Italy and Portugal. Worldwide it has 310,000 clients, mostly small firms or professionals from across the business spectrum, and 2,000 to 3,000 more are signing up every month, director Jaime Martinez said. The 67,000 Spain-based users seal about half a dozen either pure barter or part-cash deals daily worth about 5,000 euros each on average, or close to 10 million euros of business per year.

ENVELOPES full of cash, drug habits funded by EU grants and police taking payments to legalise prostitutes – you name it, it has happened in Spain.

 

 Add to those a snail-paced justice system and, a law society in Malaga that fails to scrutinize bent lawyers, and things start to look distinctly cloudy. Consider too that last week Spain’s top anti-corruption lawyer, Baltasar Garzon, was suspended from his post for illegally tapping the phones of lawyers, and most will come to the same conclusion. “Yes, corruption is certainly endemic in Spain,” says Gwilym Rhys-Jones, an Estepona-based financial expert. “Sadly there is a tradition of it and it became institutionalised since the late 1980s as nobody was dealing with it from the top down.” There is certainly nowhere better to highlight the problem than here on the Costa del Sol, where in Marbella for over two decades you could only get anything done if you were prepared to pay for it. Under the current Malaya corruption trial, centred around Marbella Town Hall, which has been going for over a year. Over a hundred councillors, mayors, businessmen and civil servants are currently on trial for taking backhanders totalling up to 2.4 billion euros. And sadly, the same state of affairs was taking place at hundreds of town halls around the country, with a central government apparently prepared to turn a blind eye. It led to hotels and golf courses being built in national parks, developments installed in river flood plains and hundreds of thousands of illegal – and unsellable – homes around the country. It comes as no surprise then that Transparency International has listed Spain as more corrupt than Uruguay, Chile and Qatar, and almost on a par with of Botswana – quite a feat for the fourth richest nation in the European Union. And while some might like to point the finger at the right or the left, the range of cases shows that bending the rules for personal gain goes right across the spectrum. The Conservative PP party has often been in the spotlight – most recently thanks to the Gurtel case, in Valencia – but the PSOE socialist party, particularly with the ERE pension scandal in Andalucia, certainly takes some beating. Even the royal family may have dipped its toes in the murky waters, with King Juan Carlos’ son-in-law about to stand trial for a misuse of public funds and embezzlement. So where did it all begin? Franco regarded it as the ‘necessary lubrication for the system’, according to historian Stanley Payne. While central government appears to be largely free of endemic corruption, in the regions it is quite a different story. In Andalucia, for example, UGT trade union leader Manuel Pastrana believes as many as 75 per cent of the region’s town halls are corrupt. This is partly down to the fact that much of Spain’s corruption is linked to illegal planning, which is said to be more profitable than drug dealing – mainly because tourism is the biggest earner on the Costa del Sol. It’s a simple tale, and sadly all too common. Developers purchase non-urban, rural land for knock-down prices, then pay corrupt town hall mayors to reclassify the land as available to develop. This leaves the developers to build whatever they like – and it is arrangements like this that explain the illegal 411-bedroom Algarrobico hotel in Almeria’s Cabo de Gata natural park – which will thankfully be demolished any day now. The question is, why are so many mayors and councillors tempted to the dark side, considering the possible environmental and criminal consequences? Aside from describing Spain as having the ‘slowest justice system in the known world’, investigator Rhys-Jones argues that it is human nature to be tempted by money once it’s dangled in front of you. “When people see a massive amount of money, they can’t help but steal it. It’s human nature,” he says, using the unscrupulous former Marbella mayor Jesus Gil as his example. Jesus Gil was described as the bad apple that spoilt Marbella’s bunch “Gil was a crook, but he started out with good intentions. Marbella was a mess in the 1980s. Property wasn’t selling. It was a dump filled with drugs and hookers. So Gil started a political party, the GAL, to try and sort it out.” But this apparent do-gooder turned resident evil, with many describing Gil – who was convicted in 2002 – as being the bad apple that spoiled Marbella’s bunch. Either way his legacy was a disaster and has led to the following three mayors – as well as his main cohort, planning boss Juan Antonio Roca, who became the svengali of the operation – all facing prison. Much of the corruption comes down to backgrounds and a lack of education, believes Marbella-based lawyer Antonio Flores. “A lot of mayors have previously had rural-based jobs, without the ability to make any money,” he explains. “The moment they have responsibility, the temptation to make money becomes too great. After four years in power, they’ll often have to go back to their tractors,” he says. A classic example of a rags-to-riches mayor is Julian Munoz, also heavily implicated in the Malaya case, who worked as a waiter before running Marbella Town Hall in 2002. Roca, too, had been on the dole before going on to pilfer 30 million euros. Planning boss Juan Antonio Roca, the main man in the Malaya case Flores compares town hall councillors with more prominent politicians in central government who are less reliant on get-rich-quick methods: “It’s not so difficult to get another job when you’re in a higher political position,” he says. The good news is that most commentators agree that corruption in Spain is on its way out. “The Malaya case was where the mentality changed,” estimates Flores. “It was a turning point for corruption and the Marbella run by thugs completely collapsed when they were all arrested. “As Spain becomes more civilised, we are slowly getting rid of corruption,” he continues. “But it has definitely not gone completely,” argues Rhys Jones. “That will take quite a few more decades.” As for shamed Judge Garzon, opinion remains firmly divided on whether he too was a man who let power corrupt him… or whether he has been silenced by a country whose corruption will be harder to iron out than some may hope. Big cases Malaya Planning chief Juan Antonio Roca is at the heart of this 2.4 billion euro scandal in Marbella. The unelected Roca operated a cash-for-permissions scheme, which saw over 18,000 homes built illegally. Gurtel Businessman Francisco Correa gave money to PP bosses in Valencia in return for lucrative contracts with the regional government. ERE The Junta is being investigated in a 647m euro retirement scandal, where posts were created in non-existent companies in order to defraud public funds. Ballena Blanca One of the largest money laundering cases in Europe, with 21 people accused of investing proceeds from drug trafficking and prostitution in property via over a thousand companies.

EU clampdown on unregulated financial advisers in Spain

 

The European Commission is to consider setting up an ombudsman to help expat victims reclaim against unregistered financial firms. It comes after a local pressure group, that represents over 1,000 victims, sent a dossier of information to Brussels. The Costa del Sol Action Group demanded action against the advisers who, it claims, have lost their clients over €120 million (£102 million). “It is good news as something has to be done about this bunch of rogues,” said group founder David Klein. “The current Spanish regulatory system is totally inadequate and ineffective. Dealing with the authorities is a constant game of ping-pong. Anyone can come to Spain and be a financial adviser; they could have been selling fish before they came here for all anyone knows." This situation could soon be coming to an end, after the European Commission confirmed it was to begin "a preliminary investigation of the problem". Foreign Office plans evacuation of expats 18 Dec 2011 It has asked for more information and the action group has called on all victims to write to the European Parliament outlining their experience. “This problem is causing untold stress and heartache in the expatriate community and it cannot be allowed to continue,” explained Klein. The European Commission is to study how investors would be able to make an official complaint against Independent Financial Advisers (IFAs). At present, there is no effective means for victims to make a complaint against product providers who work with unregistered IFAs. The group was also highly critical of the local media for its willingness to accept adverts from unregulated financial firms in a bid to maximise advertising revenue. To highlight the problem, the group included testimonials by members who were allegedly defrauded by one specialist investment brokerage, which it claims is "not regulated or registered". It said the company was able to trade, "collecting unsuspecting clients who are soon relieved of their money". One Costa del Sol-based financial adviser, Richard Alexander, said he was pleased with the EU’s response. “Bring on the review,” he said. “I have seen too many sad stories of people being turned over, badly advised or grossly over-charged by unregulated independent financial advisors in Spain. "It is entirely possible to provide professional, quality advice without the client losing out.”

Fraud: Organised crime - Bogus claims gangs cast a wider net

 

According to the Insurance Fraud Bureau, the cost of organised fraud to the industry is approximately £200m per year. While this is only a small portion of the estimated £1.6bn total cost of fraud, it is of particular concern because it is typically carried out by organised gangs, often using the money to fund serious illegal activity, such as people trafficking, arms dealing and terrorism. Although there are isolated examples of fraud rings operating in arson and disability claims, the vast majority of organised fraud involves motor insurance. It is an unfortunate truth that the criminal gangs instigating this type of fraud are rarely identified by insurers or the police, as they operate ‘behind the scenes’ — persuading others to make personal injury claims on the back of accidents that are either staged or entirely fabricated. Historically, those targeted by gangs to take part in fraud have largely followed a well-defined profile, predominantly males in the 25 to 44 age bracket, living in more deprived postcodes. These individuals also tend to have a history of suspect claims or minor criminality. There is mounting evidence, however, that this is changing, as the gangs behind the scams cast their net wider in search of the ideal claimant. This is borne out by analysis of the thousands of fraud ring cases investigated by Keoghs. Case analysis Analysis of cases handled over the past 12 months shows the number of fraudsters within the 18 to 25 age bracket has increased by 10%, compared with the previous year. Meanwhile, the proportion of fraudsters in the 26 to 30 bracket has fallen by 0.5%. This trend is also starting to be recognised across the industry; in a survey of Keoghs' insurer clients compiled in September, 83% of those noticing a change in the average age of fraud claimants said they had seen a marked decrease in their age. Another trend, more difficult to quantify, but suggested by anecdotal evidence, is that organised fraud is becoming a more middle-class pursuit, with the two groups increasingly involved being students and young professionals. The link between youth unemployment and youth crime rates is well established. In 2004, economist Steven Levitt analysed a wide range of data into the relationship and found that, controlling for other factors, almost every study showed a relationship between non-violent crime and the rate of unemployment. Levitt’s estimate was that a 1% increase in unemployment would cause a 1% increase in crime. In 2005, a study by the government’s Social Exclusion Unit found that nearly two-thirds of young offenders were unemployed at the time of arrest compared to 46% of those aged over 25. The latest figures from the Office of National Statistics reveal that youth unemployment is at a 20-year high, with more than one in five — 22.3% of 16 to 24-year-olds — out of work. More than two fifths of those out of work have been unemployed for more than six months. As a result, many are anticipating a sharp increase in the level of crime committed by young people and this appears to be borne out in the increase seen in organised fraud. Strain on finances There is also a suggestion that issues such as a rise in tuition fees for higher education and lack of availability of affordable housing is putting such a strain on young people in jobs and full-time education that many are now willing to take the risk of committing fraud to survive. In many cases, this is a last resort unlikely to be taken under normal economic circumstances, but which is now being used as an opportunity by the criminal gangs who recruit fraudsters. To make significant amounts of money from fraud, the criminals need to recruit willing volunteers to file bogus claims in exchange for a share of the pay-out. The most common scenario — that used by Mohammed Patel, the fraudster jailed in 2009 for causing 93 crashes — is for a fraudster to use a contact’s car, with their permission, to stage a collision on the road, following which the owner of the car can make a large claim for personal injuries. However, as insurers’ risk and fraud managers have increasingly grown wise to this and subjected claims from the most commonly affected postcodes to increased scrutiny, the gangs have shifted their recruitment strategies. There have been a number of cases of active recruitment of fraudsters in universities – with those taking part often studying for high-earning professions such as law or medicine, and coming from stable, middle-class backgrounds. In one case currently under investigation, the ringleader at the centre of the scam was a student who had crashed the cars of a number of fellow students in order for them to benefit from the pay-outs. So, what can insurers do to stop these practices? Rapid shifts In the face of such rapid shifts in the demographics of those involved in fraud rings — and the state of the economy driving people to turn to desperate measures and commit fraud for the first time — it is clear that concentrating on those with a history of suspect claims will not prove an effective deterrent. What is needed are all-encompassing fraud detection tools and techniques, based on a joined-up approach to sharing detailed information both internally in organisations and between insurers. Ideally, as soon as a potential fraud ring is uncovered, investigators should be able to cross-reference the details of the claims involved with all other relevant cases across the industry as a whole in order to identify and investigate any links. Investment in analytical techniques and technology, coupled with an open approach to sharing data on suspected fraud rings, is essential if the industry is to stand any chance of identifying and bringing to justice those at the heart of the problem.

Juan Antonio Roca has face to face showdown in court with Marisol Yagüe

A face to face declaration in the Malaya case in Málaga on Wednesday brought sparks between the ex Marbella Town Hall real estate assessor, Juan Antonio Roca, and the ex Mayor of Marbella, Marisol Yagüe. Roca said to Yagüe – ‘Darling, I deeply lament disagreeing, but I did give you money’. To that Yagüe said ‘You are looking for a way out of jail’. The conversation between the two came after she denied to the prosecutor that she had received envelopes, in the form of backhanders, from Roca. Judge José Godino then ordered a face to face ‘careo’ between the two which lasted just over a minute. ‘When did I ask you for money, Juan Antonio?’ she spat ‘I paid you always on the orders of Jesús Gil’, he replied, adding that the payment was for ‘maintaining cohesion’ in the three way government of which she was Mayor. The payments to Yagüe and the rest of the councillors took place between January 2004 and 2006, according to Roca’s own notes, which he has collaborated repeatedly in court. He says the ex Mayor received 1.8 million €. Yagüe told the court that Roca knows she loves him a lot, and that she wants him to get out of jail, ‘but it is not as he says’, she said, looking directly into his eye and grabbing his forearm. She also denied that he had supplied funds for the purchase of a luxury flat in Madrid in the Argüelles district. She faces 20 years in prison and a 3.8 million € fine in the case on charge of bribery, perversion of the course of justice, fraud and the misuse of public funds. The questioning continues on March 5.

Libyan land being freed for development in Marbella

 

A large real estate project which the Libyan Arab Foreign Bank wanted to place in Marbella is back on the road. The project was frozen because of the death of Muamar El Gaddafi, but now the lawyers for the development say it is active again. The lawyer Ignacio Pérez de Vargas said the plans are for 1,915 homes, a golf course and a congress hall to be built in La Resinera, the finca owned by the Libyan in Benahavís which stretches to 6,900 hectares across the municipalities of Benahavis, Estepona, Pujerra and Júzcar. Part of this is in the Sierra de las Nieves, declared a Biosphere Reserve, but the PGOU urban plans shows 500 hectares which can be built on in Benahavís. Construction could start as early as December. The Spanish Government blocked all the assets owned by the Libyan Government in Spain, or related to Gadaffi, when the fighting started in Libya. There is another plot in Nerja also owned, as nearly all the Libyan assets, by the Libyan Foreign Bank. Now the politicians and ambassadors of the two countries have been talking, and the Libyan Ambassador commented ‘Soon we will know what is going to happen to our properties in Spain. We have asked for meetings to find out what we can do with them. Now we will try to complete the arrangements so the projects we initially had in mind can go ahead.

Ex Marbella Mayor, Isabel García Marcos, found guilty of corruption

 

The ex Mayor of Marbella, Isabel García Marcos, has been handed down her first conviction for real estate corruption. Penal Court 10 in Málaga fined her 3,600 € and banned her from holding public office for ten years. Three other ex councillors were given the same sentence, José Jaén and Carmen Revilla among them, and another 11 ex-councillors were given a year’s prison sentence and a ten year ban. These include Julián Muñoz, Rafael González and Marisa Alcalá. José Luis Fernández Garrosa, Alberto García Muñoz and Pedro Reñones were all given nine month prison sentences and a nine month ban from office. The case relates to April 2002 and a licence for the construction of 20 luxury villas on a plot of land in Trapiche.

Zumba Fitness is the only Latin-inspired dance-fitness program that blends red-hot international music

 

Zumba Fitness is the only Latin-inspired dance-fitness program that blends red-hot international music, created by Grammy Award-winning producers, and contagious steps to form a "fitness-party" that is downright addictive. Since its inception in 2001, the Zumba program has grown to become the world's largest – and most successful – dance-fitness program with more than 12 million people of all shapes, sizes and ages taking weekly Zumba classes in over 110,000 locations across more than 125 countries.

Zumba's Latin rhythms on the move in the fitness world

 

On a rooftop parking lot, with temperatures in the chilly low 50s, a crowd of all ages shimmied and shook, sweated and smiled as DJ Francis played an eclectic mix of dance music. But this wasn't just another wild South Florida party. It was a special Zumba class for charity, led last month by the creator of the global craze, Alberto "Beto" Perez. The charismatic Colombian in cargo pants — who has become a rock star in the fitness world — climbed onto the roof of a Chevy minivan that doubled as a stage. He demonstrated salsa steps, the merengue march and many other Latin-inspired dance moves — all while also cuing the drummer and the bongo player. For an hour, 75 of his adoring fans — and even the minivan — moved to the beat. "Everybody loves it; everybody has fun," Perez said while posing for pictures with his Zumba faithful, some of whom had traveled from as far as Canada. Two days later, Perez flew to New York to appear on the TV morning show "Live! with Kelly." "You must be so rich by now," host Kelly Ripa gushed to Perez, 41. Perez's Zumba classes, with the motto "Ditch the Workout, Join the Party," were strictly a South Florida phenomenon 10 years ago. Today, Zumba Fitness has become the largest branded fitness program in the world, with about 12 million people taking Zumba classes weekly at 110,000 locations in at least 125 countries, according to company spokeswoman Allison Robins. The private company won't reveal information about the company's finances or its net worth. But at a time when most of the world is struggling economically, Zumba Fitness' empire appears to be flourishing. It is doing so on the strength of a growing army of certified instructors who spread the Zumba gospel to such distant outposts as Iceland, Papua New Guinea, Nepal and even Afghanistan — at the Kabul Community Center. Many fitness crazes have come and gone. Staying power is tough in the ever-evolving fitness industry. John Figarelli, founder of the National Fitness Hall of Fame Museum and author of "The History of Fitness: Fads, Gimmicks and Gadgets," said: "I think the owners of Zumba did a great job of getting it going from a business standpoint." Zumba Fitness does not charge gyms to carry its classes. Instead, it trains instructors and gives them the license and use of the trademark if they join the Zumba Instructor Network. "We're helping the instructors to become entrepreneurs and make a living out of it," said company co-founder Alberto Aghion. Exercise as a business It's a sound strategy, said Figarelli, whose book covers 100 years of working out, from 1900 to 2000. "Most group-exercise instructors will just go with the next popular class. But if Zumba is your business, instructors will stay with that." Ensuring instructors are successful has become the company's main mission. "We have three people who all they do is call up gyms all day and try to find instructors employment," said company co-founder Alberto Perlman. The company has made Zumba instructors easy to find, with a worldwide listing that includes all of their network instructors' classes regularly updated on the company's website. Instructors also receive new music and choreography about every two months. The music department now creates music just for Zumba classes, with original songs that include "Zumbalicious," "Que Te Mueve" and "Caipirinha," which was a No. 1 song in Israel. Zumba Fitness makes its money on its instructors academy, instructors courses, monthly fees from instructors in its network and on all its brand merchandise. The company has built its own line of hip, colorful clothing and footwear, workout DVDs, two video games, original music and a lifestyle magazine, Z-Life. This was not the business model when Zumba Fitness was founded in Aventura, Fla., in 2001 by the "three Albertos" — creator Perez and boyhood friends Perlman and Aghion, both entrepreneurs in their mid-20s and natives of Colombia. The trio's original plan was simple: produce VHS workout tapes of Perez's popular South Florida classes to sell around the country on infomercials. An inspired ad-lib Perez fell in love with dancing at age 7 by watching a VHS tape of the 1978 movie "Grease," starring John Travolta. At age 16, he was teaching aerobics classes for $1 an hour. One day, he forgot his prepared music. All he had in his backpack was a cassette tape of merengue and salsa music he'd recorded off the radio. His morning class was full of moms who had dropped their kids off at school. "I can't say, 'Hey sorry, I forgot my music,' " Perez said. "I say to the people, 'I have a new class I prepared for a long time.' It was not true. I improvised for one hour." The moms loved the dancing exercise. Perez turned it into a regular class in Cali. He soon moved to the Colombian capital of Bogotá, where he continued those classes and became a choreographer for Sony Music and Shakira. In 1999, Perez came to the United States for the first time. He pounded the pavement on South Beach, going from gym to gym. Nobody was interested in this new dance exercise class by a guy who couldn't speak English. On his fourth trip to Miami he landed a job at the swanky Williams Island Spa in a development where several Colombians lived. Some had even taken classes with him in Bogotá. Within a year, Perez was in demand, teaching 22 classes all over South Florida. At the same time, Perlman and Aghion were looking for a new business venture after the dot-com bubble burst, bringing down their Internet company, Spydre Labs, an incubator for Internet startups related to Latin America. Enter Raquel Perlman. While Alberto Perlman was telling his mom about how badly he was feeling for laying off people, she was telling him about how happy she was taking Perez's classes, where were then called Rumbacize. "You should meet Beto and maybe start a gym together," she told her son. "He's the talk of Aventura." Perlman watched a class and was reminded of people having fun at a nightclub, but without the drinking and pickup lines. "Beto, have you heard of Billy Blanks' Tae Bo? Why don't we do VHS tapes and sell them on television?" Perlman said he told Perez. In August 2001, they and Aghion founded Zumba Fitness. To create a demonstration video to show investors, the three stayed up all night laying down boards to create a dance floor on the beach outside a Sunny Isles hotel. About 200 of Perez's students paid $20 each for the class, raising an additional $4,000. When the infomercial began running on TV, people rang the call center in Ohio to buy the videos, and a few also asked how to become Zumba instructors. Those callers were forwarded to Zumba's office — at Aghion's home. After a few 2 a.m. wakeups, Aghion realized this was another business opportunity. Zumba Fitness also has greatly benefited from Internet advertising and social media. Many people discovered Zumba via YouTube videos. Zumba Fitness started a Facebook page about a year ago and now has more than 3 million fans. Zumba is mentioned every 11 seconds in social-media platforms, Robins said. It's not clear yet if Zumba will have a long shelf life or be added to the long list of exercise fads, said Walter R. Thompson, professor of exercise science at Georgia State University. He'll watch to see how it fares over the next few years in a worldwide survey that ranks fitness trends. "I hope it stays around," he said. "It's motivating a lot of people to exercise."

Morocco yoga courses: Stretching out on a yogic break in soothing Berber country

Dust clouds sway like ghosts dancing to an inaudible tune across miles of Moroccan dessert. I’m only 15 minutes south of Marrakech, but the soil’s already darkened to a deep, blood-clot red that clashes violently with the cobalt sky above. Spindly Argan trees feature goats that have clambered into the branches and nibble on the fruit (yes, really), a snapshot of surreal comedy against nature’s stark, beautiful reality. It’s my first up-close and personal foray into Morocco’s rural centre, despite having fallen head over heels for mad old Marrakech eight years beforehand. Rustic retreat: Lalla Abouch offers yoga courses set in the beautiful Moroccan countryside There’s something intoxicating about the swirling, jasmine-soaked souks, the thrill of losing yourself in the medina only to wind up on a rooftop drinking pomegranate martinis hours later. I’ve returned several times since to enjoy the city’s myriad hidden bars, supper clubs and late night lounges. But this time I want a different kind of escapism, one that’s less hedonism, more health. 'We’ve the perfect place', Rosena, the Irish founder of Moroccan concierge experts Boutique Souk, assures me before arranging a car to drive me the three-hour journey south into Morocco’s Berber country. Thirty miles south of the colonial port city of Essaouira, our jeep turns inland, swerves sharply at a junction and turns up an invisible, potholed dirt road through fields of carefully irrigated vegetable patches and chicken coops. A donkey brays ‘hello’ as I clamber out, the only contender to shatter the silent calm of our weekend lodgings. Named Lalla Abouch after ‘Lady Argan‘ and Morocco’s famous Argan tree, the guesthouse embodies what many ‘boutique’ lodgings strive for yet often fail to achieve. Chic and rustic, it proffers the perfect balance between comfort and style – the home from home I’ll never replicate no matter how many Elle Decoration subscriptions I sign up for. Taking the plunge: The refreshing pool is lined with plants and a traditional stone wall Beaming Lucreiza, the Italian who runs this hideaway, gives me a tour of the farm’s intimate selection of cosy rooms, all located around a bougainvillea-splashed courtyard, before ushering me onto the farm’s charming alfresco terrace for fresh mint and ginger tea. Terracotta pots trickle fresh water into a plunge pool overlooking acres of lovingly tended vegetable patches, whilst wild tortoises sunbathe lazily in the afternoon rays as kitchen hands gingerly navigate them whilst plucking robust courgettes for the evening meal. Food is a big draw at Lalla Abouch - so don’t go thinking this is yoga with all the normal detox-wheatgrass-deprivation tags. Lunch, though simple, is lip-smackingly good: home-plucked bitter leaves; creamy local goats cheese; cumin-crusted courgettes, caramelised carrots; a fuchsia pink beetroot dip; wholegrain couscous studded with ruby pomegranate seeds. Each bite radiates with energy and (forgive the hippy hyperbole) is offered up with love. Lucreiza beams as I eat. 'We like to give an alkaline, vegetarian diet during the retreats', she explains. 'It’s a good for body cleaning and rejuvenation.' I come away from the meal feeling more satiated than many of my finest dining experiences back in the UK. Unusual sights: Goats love to climb the Argan trees, while Lalla Abouch has plenty of quiet corners for relaxing Besides intensive, twice daily yoga and meditation sessions lasting two hours a go, Lalla Abouch offers a real (and rare) opportunity to totally unplug from daily life. As Lucreiza concedes, 'the natural elements are deep and strong', so the entire operation of the farm and its retreats has been designed to really embrace the local surrounds – and the produce found within it. Better still, my experience isn’t marred by the constant checking of Blackberry’s or broadband; connectivity here is slim to none. Sure, it’s a little disconcerting at first, but after several hours our entire party agrees we’re happy for the forced technology amnesty. With no one to tweet or CC, I instead sink into an indulgent afternoon of reading in the farm’s huge hammock, slung beneath the boughs of the Argan tree. I doze, stirring only when the attention seeking donkey’s comical eey-awww or Lucreiza’s quiet, smiling kitchen hands water the fragrant herb garden. I’ve done no yoga yet, but I can already see why Moroccan specialists Boutique Souk thought they’d 'struck gold' when stumbling upon the farm.

Million on Spanish streets for workers' rights

 

A million workers and their allies marched in cities across Spain today in protest at the new government's drive to strip them of their hard-won labour rights. The country's two main trade unions, CCOO and UGT, organised demonstrations in 57 cities under the slogan: "No to the labour reforms - unfair to workers, ineffective and useless to the economy and for employment." Protesters waving red and white trade union flags turned out in Cordoba in the morning while evening marches were staged in Barcelona, where 400,000 took to the streets, and Seville, Toledo and Valencia. UGTT general secretary Candido Mendez and his CCOO counterpart Ignacio Fernandez Toxo participated in a 500,000-strong demonstration in Madrid. Protesters including members of the "indignant" social protest movement shouted: "Bankers, thieves, give back the millions." On February 11 Prime Minister Mariano Rajoy's right-wing government, which took office two months ago, changed labour laws to cut the maximum redundancy pay to 33 days' salary for each year worked from 45 days and capped it at just under 800 days' salary. And employers no longer need prior authorisation to lodge a labour force "adjustment plan," making it easier for them to impose mass layoffs. The regressive reforms also empower Spanish bosses to pull out of collective bargaining agreements and grant them more powers to unilaterally change employees' schedules, workplace tasks and pay. Engineering student Jordi Alsedo said: "It worries me that my generation will have fewer rights than my parents, that we are not going to be able to live as well. "I feel like we are taking steps backwards in Spain and the rest of Europe with this type of reform." Unemployment in Spain has tripled since 2007, and today about 5.2 million people in the country are out of work. The official unemployment rate is running at 23 per cent, and its youth unemployment rate is nearly 50 per cent. Addressing his Popular Party's annual congress in Seville today, Mr Rajoy said: "If we want Spain to grow and create employment, we had to do what we've done." UGTT activist Candido Mendez retorted: "We will continue with an ever-growing mobilisation."

'Kinky' nuns and tattooed Christs spark controversy for Spanish gallery

 

Catholics and conservatives have denounced as blasphemous two recent exhibitions in Madrid featuring kinky nuns in lingerie and tattooed and near-naked Christs, demonstrating outside one gallery. Catholic group AES called a demonstration for Friday evening outside the Fresh Gallery in Madrid against its latest exhibition: "Obscenity", a collection of photographs by Canadian artist Bruce LaBruce. The 50 pictures on display include a portrait of Spanish actress Rossy de Palma in a black and white habit and see-through corset with a rosary between her teeth. One shows a well-known singer, Alaska, dressed as a sexy saint with a communion wafer on her tongue, while in another she hugs a tattooed Christ to her breast in a kinky tribute to Michaelangelo's Pieta sculpture. Around 50 protesters demonstrated outside the Fresh gallery Friday evening bearing placards reading "For a unified and Catholic Spain" and "God Exists". LaBruce himself was unrepentant. "How can fascists attempt to assert any sort of moral authority over anything?" he said. LaBruce, 48, whose work has often sparked protests and censorship, wrote on the gallery's website that "the lives of the saints are full of ecstatic acts of sublimated sexuality."

Spanish duke to be questioned by judge in embarrassing first for Madrid's royal family

 

Spain's royal family has long enjoyed a level of privacy and respect that the Windsors could only dream of. But, in an uncomfortable first for the Madrid monarchy, one of their number will face questioning from a judge this week in a scandal which has rocked the royal family and raised questions over the future of the monarchy. Inaki Urdangarin, the son-in-law of King Juan Carlos, is preparing for a court appearance in which he will defend himself in a widening embezzlement scandal. Hearings into the case began last weekend at a court in Palma on the Balearic island of Majorca and will culminate on Saturday with the long anticipated appearance of the Duke of Palma, who received the title when he married Cristina, the King's youngest daughter, in 1997. The Duke, 44, a former professional handball player who won Olympic medals for Spain in the sport, was formally made a suspect in the wide-ranging fraud case that alleges the embezzlement of millions of euros of government funds through a non-profit organization he co-directed between 2004 and 2006. Investigators claim to have discovered a "black hole" in the accounts of the Noos Institute, which organised sporting and tourism events for the regional governments of the Balearic Islands and Valencia.

Morocco bans Spain’s El Pais newspaper over royal cartoon

 

Morocco has banned the distribution of Thursday’s edition of Spain’s influential El Pais, as a cartoon published by the newspaper allegedly tarnished King Mohammed VI’s name, an official said. “The decision to ban (the paper) was made on the basis of article 29 of the press code” that protects the monarch, the senior communication ministry official told AFP on Saturday. “The caricature contains a deliberate intention to smear the (king’s) image to harm the king personally,” he added. The cartoon, which was picked up by a Moroccan website, accompanied an article by Spanish journalist Ignacio Cembrero, who knows Morocco well. Contacted by AFP, Cembrero said the Moroccan reaction surprised him as the small cartoon was “friendly and rather likeable”. It seemed to be the first time that a foreign publication was banned for the stated reasons since the moderate Islamist Justice and Development Party (PJD) came to power in Morocco in January, he added. So far Morocco has only banned weeklies that carried images of the Prophet Mohammed, or of God, which is forbidden under Muslim tradition. Earlier this month French weekly Le Nouvel Observateur fell into that category after printing an image of God. And last month the magazine was banned when a cover story on the Arab world included the supposed face of the Prophet Mohammed. Morocco also banned French weekly l’Express in January for publishing a 95-page dossier on Islam including a face meant to represent Mohammed’s.

British man killed and 24 injured after coach crash during half-term skiing holiday

 

British man was killed and 24 others were injured when a coach carrying school pupils home from a half-term skiing trip careered off a motorway in northern France today. At least four teenagers are in a serious condition following the accident on the A26 road, near Chalons-en-Champagne, in the Ardennes region. The dead man's name has not been released. He was 61 years old.

Thought the Spanish peseta had bitten the dust? Well think again

Thought the Spanish peseta had bitten the dust? Well think again. In just the last year several Spanish villages and towns have been quietly re-introducing the defunct currency alongside the euro as unemployment and a stagnant economy grip the country.

Some Spaniards are calling for the return of the peseta

Last year Mugardos in northwestern Spain began the trend for accepting pesetas when canny inhabitants realised that the Bank of Spain in Madrid had set no time limit for exchanging the old currency. Since then several other villages such asSalvaterra in the north have followed its example, with the latest being Villamayor de Santiago in Castile-La Mancha, the old hunting ground of the fictional hero, Don Quixote.

At least 30 businesses in the village of 3000 residents have begun accepting the outmoded coins and notes and the initiative has proven a great success with €6000 worth of pesetas having been spent to date. Villamayor de Santiago has suffered badly from unemployment and almost a third of residents are without work. Now, hard-up locals are only too happy to unearth pesetas squirrelled away when the euro was introduced a decade ago.

The guild of local merchants has been administering the scheme and in an effort to keep costs to a minimum is gathering the pesetas traded and exchanging them at the Bank of Spain in Madrid-150 kilometres away-on behalf of all the villagers.

Local traders in villages such as Salvaterra have welcomed back the peseta

For his part, new president, Mariano Rajoy, has tried to ease the pain of Spanish businesses by introducing a wide range of labour reforms. At the same time the European Union is demanding that austerity measures are swiftly imposed in the country to ease the deficit and prevent the need for a bail out similar to Portugal and Greece.

The electorate, already wary of the European Union’s demands, has been further outraged to learn from consumer association, OCU that in the last ten years since the introduction of the euro in Spain, prices have soared. Essential goods have risen by 43 percent, with the price of food products such as a loaf of bread increasing by 49 per cent and potatoes 113 per cent. An average family grocery bill for the year is estimated at €6,800, representing an increase of 48 per cent in the last ten years.

It is therefore no wonder that disillusioned Spaniards are resorting to the comfort of their erstwhile currency. Whether their efforts will act as a catalyst,  triggering a Europe wide movement to scuper the euro, is anybody’s guess. 

Measles outbreak in Alicante and Elche

 

There is an outbreak of measles in Alicante which has now extended to Elche. Alicante has seen 119 cases which the regional health department says are centred in the north of the city. So far six cases have been reported in Elche. The health department says things are under control and the outbreaks are evolving normally. There is a 15 day incubation period for measles, and so the experts think more cases will appear shortly. Most of those affected have not been vaccinated with the triple vaccine currently used for youngsters, although the experts admit the effectiveness of the vaccine is not always the same, and a person with low defences could develop the illness. Even so they note an increasing number of parents not vaccinating their children.

British airlines threaten to reduce flights to the Canaries

 

British airlines Jet2 and Monarch have both said that they will be reducing the number of their flights to Tenerife if the State finally decides not to continue the discount in the airport taxes who fly to the Canaries, and who have met a series of conditions, such as opening new routes and increasing passenger numbers. Also German airline Condor has put plans for a new route from Germany the Tenerife North Airport on hold for the same reason. Carlos Alonso, the tourism councillor for the Canaries, noted that this showed that there was a direct relationship between discounts and air connections. He’s made a call to the Minister for Industry, Energy and Tourism, José Manuel Soria, ‘to not play with our bread and butter’. ‘Everyone wins if we keep these grants’, said Alonso. The grants concerned total about 26 million €. Monarch carried 335,844 British tourists to Tenerife last year, 10.6% more than in 2010, and Jet2 carried 132,994 British tourists in 2011, up 37%.

Half of Spain “Addicted” to the Internet

 

Nearly half of all Spaniards (45%) claim to “be addicted” to the internet, amongst them, the majority are women and youngsters between 18 and 34. The figures come from the “Nestea Study about the Internet and Social Networks”, carried out by the Sondea Institute. 2,618 people were interviewed throughout Spain. According to the study, the autonomous communities with the most “addicted” to the internet are people living in Navarra (65%), Balearic Islands (58%), Cantabria and the Basque country (both 50%). The least “addicted” are in Asturias (35%), Galicia (36%), La Rioja (38%), and Murcia (41%). The study reveals that 43% of all Spaniards spend between four and ten hours per day, actively connected to the internet, while 5% are connected more than ten hours per day. Over 90% of those who took part in the survey confirmed that they had a profile on a social networking site, mainly Facebook (85%), Twitter (35%), Tuenti (27%), and LinkedIn (17%).

Spain's Popular profit slumps on property provisions

 

Banco Popular said profit fell by almost one fifth in 2011 as the Spanish bank made 1.7 billion euros ($2.2 billion) of provisions against bad property loans. The bank on Wednesday said profit fell 18.7 percent to 479.6 million euros , just above a consensus analyst forecast of 477 million euros. Spanish banks have hundreds of billions of euros of unsaleable land and property and unrecoverable loans to bankrupt developers sitting on their balance sheets, four years after a housing and construction crash. Popular is completing a merger with Banco Pastor and said on Tuesday it had achieved 75 percent backing from shareholders of the Galician bank for the move. Spain's government is set to present a draft bank reform package on Friday that will likely push banks to increase provisions on their souring property assets by up to 50 billion euros. It also hopes to see more consolidation in the country's banking sector. Some analysts say it will be hard for Spanish banks to resist some sort of external aid or state cash to bolster their finances. According to broker JB Capital Markets, Popular holds around 5.7 billion euros in problematic property loans and would need to find extra funds of 2.9 billion euros if the government insists on new capital levels to cover losses