Spanish prime minister says he won't resign or call early elections

Spanish prime minister Mariano Rajoy has said that he won’t resign or call early elections amid a political crisis gripping his country.

The so-called slush fund scandal involves Rajoy and other senior members of the Partido Popular allegedly received illegal cash payments from the party's former treasurer Luis Barcenas. These payments were purportedly registered in 'parallel' accounting books, which were later leaked to the Spanish press.

Speaking to Congress today, Rajoy said he had seen no evidence of illegal party financing.

Earlier, he said that investigations into corruption was damaging the image of the country. He admitted he was wrong to Barcenas, but didn't admit any wrongdoing on the part of himself or his party.

Here's a live stream of the Congressional hearing (in Spanish).