Spanish Prime Minister Rajoy rejects calls to resign from office

City A.M. Reporter
SPANISH Prime Minister Mariano Rajoy yesterday rejected calls to resign over a financing scandal and said he would not allow the matter to hold back his reform plans.

The political pressure mounted on Rajoy as the former treasurer of his centre-right People's Party gave new testimony before a judge looking into the affair, saying that he had made large cash payments to Rajoy and party secretary-general Maria Dolores Cospedal in 2009 and 2010.

Rajoy had so far managed to limit the impact of the scandal, which involves alleged illegal donations by construction magnates that were supposedly given as cash payments to party leaders in return for juicy contracts. “I will defend political stability and I will fulfill the mandate given to me by Spanish voters,” he told a news conference.