Corruption allegations: Portugal's Prime Minister Costa resigns

2023-11-07 15:05:00

Portugal’s Prime Minister António Costa has resigned following corruption allegations. Because of doubts about his “integrity,” he offered his resignation to the president, Costa said on Tuesday. Corruption investigators had previously searched several ministries and the official residence of the socialist head of government in Lisbon. The investigations include, among other things, suspected corruption in lithium and hydrogen projects.

Costa said on Tuesday after a meeting with President Rebelo de Sousa that his conscience was clear. The prosecutors had said that Costa was also being investigated. On Tuesday, the public prosecutor’s office also officially named Infrastructure Minister Joao Galamba as a suspect, and Costa’s chief of staff was arrested. Costa said he was willing to cooperate with the justice system. A prime minister must be above all suspicion, said Costa, explaining his resignation.

According to media reports, Portuguese police searched the head of government’s residence as well as two ministries and other buildings on Tuesday. The public prosecutor confirmed this. According to media reports, five people were arrested, including Costa’s head of cabinet Vítor Escaría.

Suspicion: corruption and taking advantage

The state news agency Lusa, the state television station RTP and other Portuguese media reported that it is about suspicion of illegal practices such as bribery and taking advantage in the awarding of concessions for lithium mining in Montalegre and the production of so-called green hydrogen in the city of Sines, citing official circles. Prosecutors, police and the government did not immediately respond to requests for further details of the searches.

In addition to the head of the cabinet, those arrested were the influential entrepreneur Diogo Lacerda and the mayor of Sines, Nuno Mascarenhas, as well as two other businessmen, RTP and Lusa reported. A total of 40 homes and offices were searched, including the ministries of infrastructure and the environment. It was not initially known what exactly the detainees were accused of. There were calls from the opposition for Costa to resign and for a new election.

Costa canceled appointments for Tuesday and immediately met with President Marcelo Rebelo de Sousa, Lusa and RTP reported. Infrastructure Minister Joao Galamba and Environment Minister Duarte Cordeiro as well as his predecessor in office, João Pedro Matos Fernandes, are listed as suspects.

The Montalegre region in the far north of the country is believed to have the largest lithium deposits in Europe, which are to be mined despite great resistance from the local population. The metal is important for the production of batteries. In the city of Sines in the south of the capital Lisbon, so-called green hydrogen is to be produced in the future using renewable energies in a coal-fired power plant that will be closed in 2021. Both projects are important building blocks for Portugal’s phase-out of fossil fuel use.