Former IMF Chief Rodrigo Rato Sentenced to Over Four Years in Prison for Tax and Corruption Offenses

 

Rodrigo Rato, former chief of the International Monetary Fund (IMF) and Spain's ex-economy minister, has been sentenced to four years, nine months, and one day in prison by a Madrid court. The ruling on December 20 found Rato guilty of tax crimes, money laundering, and corruption between private individuals.

The court convicted Rato on three counts of tax offenses against Spanish authorities, as well as charges of money laundering and corruption in the private sector. Additionally, he was ordered to pay fines exceeding €2 million and reimburse tax authorities €568,413.

Rato, 75, who led the IMF from 2004 to 2007 and chaired Spanish bank Bankia from 2010 to 2012, had previously served two years in prison for embezzlement. In 2017, he was found guilty of misusing Bankia credit cards for personal luxury expenses, including holidays and high-end purchases.

Despite this new sentence, Rato will not serve additional jail time until the Supreme Court reviews any potential appeal, as confirmed by a court spokesperson.

The sentencing follows a nine-year investigation and a year-long trial, during which prosecutors initially sought a 63-year prison term for Rato on 11 charges. His defense had argued that evidence from a 2015 raid on his home should be dismissed, claiming it violated his rights. However, the court upheld the charges.

Baker McKenzie, the law firm representing Rato, declined to comment on the case.

Rato’s tenure in public and private finance has been marred by legal troubles. While he was acquitted in a separate fraud case concerning Bankia’s 2012 stock market listing, his legacy remains overshadowed by financial and ethical scandals.

This latest conviction underscores Spain's ongoing efforts to combat corruption, even among its most prominent figures.