Spanish gambling heavyweight Codere is under intense scrutiny following revelations of an alleged lobbying scheme that reached the upper echelons of Spain’s political establishment. According to a report by Catalonia’s regional police force, Mossos d’Esquadra, Codere paid nearly €680,000 ($796,000) to Equipo Económico—a consultancy founded by former Finance Minister Cristóbal Montoro—between 2008 and 2012, in what investigators suggest was a strategic effort to sway legislation and tax policy in its favor.
Political Connections and Timing Raise Eyebrows
The payments reportedly coincided with the drafting and passage of Spain’s Gambling Law in 2011, a pivotal moment for the country’s online gambling industry. Codere had long advocated for such regulation, arguing that foreign operators enjoyed unfair tax advantages. Investigators allege that Equipo Económico acted as a conduit between Codere and influential figures within the Finance Ministry, potentially skewing the licensing process to favor domestic firms.
Former Justice Minister Rafael Catalá Also Implicated
The scandal deepens with the involvement of Rafael Catalá, who served as Codere’s board secretary and director from 2005 to 2011 before becoming Spain’s Minister of Justice. Catalá reportedly maintained ties with Codere even after entering public office and rejoined the company in 2019 as a global advisor on institutional relations.
Critics Claim Market Manipulation
The Mossos report outlines how Codere may have benefited from policy changes, including a 2012 tax rule amendment under Montoro’s leadership that allowed players to deduct prior losses from taxable winnings—a move that indirectly favored gambling operators. While the report stops short of alleging criminal conduct, it paints a picture of regulatory manipulation that disadvantaged foreign competitors and distorted market fairness.
Broader Implications for Spain’s Gambling Sector
These revelations come at a sensitive time, as Spain prepares to overhaul its gambling regulations through a new Royal Decree. The timing of the scandal has sparked concerns about institutional integrity and transparency, especially as regulators face mounting pressure to restore public trust.
Codere has yet to issue a formal response to the allegations. Meanwhile, judicial authorities continue to investigate the extent of coordination between Montoro, Equipo Económico, and Codere, with potential ramifications for Spain’s compliance with EU competition law.
