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Spain's High Court widens graft inquiry to include PM's close ally - Headlines news and analysis from Global Banking & Finance Review
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Spain's High Court widens graft inquiry to include PM's close ally

Published by Global Banking & Finance Review

Posted on July 10, 2026

2 min read

· Last updated: July 10, 2026

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Spain’s High Court Expands Corruption Probe to Sanchez’s Former Aide

Corruption Investigation Involving Key Political Figures

MADRID, July 10 (Reuters) - Spain's High Court placed Prime Minister Pedro Sanchez's former chief of staff and postmaster general under investigation on Friday as part of a wide-ranging corruption probe, ordering police to seize and analyse his mobile phone data.

Impact on Prime Minister Pedro Sanchez and the Socialist Party

The move, outlined in a writ, is yet another blow for Sanchez, who in the past two years has seen several members of his Socialist Party (PSOE), cabinet and inner circle involved in various graft scandals. Last month, his former right-hand man was sentenced to 24 years in prison.  

To date, none of the cases has named Sanchez, who came to power eight years ago by ousting a corruption-plagued centre-right government on the promise of cleaning up politics.

Role of Juan Manuel Serrano

Juan Manuel Serrano served as one of Sanchez's top aides within his party between 2014 and 2018. When Sanchez became premier in July 2018, he named Serrano to head the postal service, keeping him in the job until 2023.

Alleged Plot and Key Individuals

The writ showed Serrano is implicated in a suspected plot to destabilise judicial and police investigations affecting the PSOE. The focus is on text messages exchanged with Leire Diez, the group's alleged ringleader who served in a senior position in the postal service during Serrano's tenure.

Diez has repeatedly denied any wrongdoing. Serrano did not immediately reply to Reuters' request for comment. 

Party and Judicial Responses

A PSOE spokesperson said the investigation had to run its course and the party would fully cooperate with it. 

In his writ, investigating judge Santiago Pedraz said Serrano and Diez "may have used public entities for their own benefit or that of third parties".

Poring over the messages "would help establish whether (Serrano) merely consented to an unlawful operation or whether his responsibility extended to instigating and directing it".

Further Investigations and Denials

Vicente Fernandez and SEPI

Vicente Fernandez, the former head of state holding company SEPI - which oversees personnel at the postal service - is also being investigated over Diez's appointment to the agency.

Fernandez has denied any wrongdoing.    

(Reporting by David Latona; Editing by Andrei Khalip)

Key Takeaways

  • The probe, led by Judge Santiago Pedraz, implicates Serrano in a suspected scheme—coordinated by Leire Díez—to destabilize legal proceedings affecting PSOE and the government, with mobile phone data now being analysed (cadenaser.com).
  • Investigators trace irregular benefits and public contracts—possibly amounting to €13 million—from Serrano’s tenure at Correos to the broader SEPI-linked operations, fueling suspicions of misuse of state entities (gaceta.es).
  • This marks a new escalation in the “Caso Leire Díez” corruption scandal, which has already ensnared other high-profile PSOE figures like Santos Cerdán, Gaspar Zarrías, Ana María Fuentes, and Vicente Fernández, and expands scrutiny to the government’s inner circle (efe.com).

References

Frequently Asked Questions

Who is under investigation in Spain's latest graft inquiry?
Pedro Sanchez's former chief of staff and postmaster general, Juan Manuel Serrano, is under investigation as part of the High Court's corruption probe.
What triggered the widening of Spain's corruption investigation?
The investigation was expanded after text messages came to light, implicating Juan Manuel Serrano and Leire Diez in an alleged plot to destabilize judicial and police inquiries.
Has Prime Minister Pedro Sanchez been implicated in the graft scandals?
No, none of the current cases have directly named Prime Minister Pedro Sanchez in the corruption scandals.
What is the Socialist Party’s response to the investigation?
The PSOE stated it would fully cooperate with the investigation and allow the judicial process to run its course.
Who else is being investigated in connection with the postal service appointments?
Vicente Fernandez, the former head of state holding company SEPI, is also under investigation over appointments at the postal service.

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