Spain’s former IMF head to face fresh corruption charges as new crimes come to light

JAILED ex-International Monetary Fund chief Rodrigo Rato has been told he faces a fresh corruption trial in Spain.

The Madrid high court has ordered Rato to stand trial alongside 12 others for deals allegedly offered by senior Bankia figures to public relations firms in return for €2 million in suspected bribes.

Those charged will have to put up sureties of close to €4.5 million or face having their assets seized.

Prosecutors are seeking a sentence of four years’ jail time, which would double the time Rato must serve to eight-and-a-half years, and a fine of €2.5 million.

Authorities have already charged Rato over his role in listing Bankia on the stock market during his time heading up the bank from 2010 to 2012.

Rato was head of Caja Madrid which merged with six other struggling banks to from Bankia in 2010.

He was accused of falsifying Bankia accounts in order to trick investors and hide substantial losses at the height of the financial crisis.

The false stock market listing drew in many smaller and unsuspecting investors but authorities were soon forced to step in a rescue the bank.

Rato, who also served as Spain’s economy minister, must also await judgement on a separate tax avoidance case against him.