There are strong indications of their responsibility. Hercules CF and the Hercules Foundation were suspected of maneuvering to hide from the Treasury two million euros paid for the transfer of Abdessamad Ezzalzouli. This arrangement appears to have allowed the football club to avoid settling debts it owed to public coffers since 2013, a burden tied to a bankruptcy that was announced two years prior.
The case progressed under the supervision of Judge Maria Luisa Carrascosa, who instructed the action following Alicante Prosecutor’s Office complaint. The proceedings have led to a shortened process and the prosecution of four individuals under investigation: club presidents and foundation leaders, Carlos Parody and Valentin Bottle, along with two other executives, José Francisco Javier Leon and Jose Maria Caruana, as well as two entities, on charges related to the illicit movement of assets. Even if the debt is eventually repaid, the proceedings place them in a potentially precarious courtroom position.
Judge agrees to continue proceedings against Hércules CF for seizure of assets and sues Caja Rural
In response, the magistrate closed the case against Country Box and the manager of one of its branches, who faced a criminal complaint. The bank argued that regulations were followed and that there was no evidence of any collaboration with the accused in criminal activity, a claim echoed in the ruling.
In a decision subject to appeal, the magistrate confirmed the facts as alleged. Prosecutor Martin Lopez Nieto, State Attorney Parodí, and others argued that rather than depositing the two million euros received for the player’s transfer into the sports club’s Sabadell account, the Foundation redirected the funds to an inactive Caja Rural account that had remained dormant for years.
Hércules announced before the judge that 900,000 Euros of the two million obtained from Abde’s transfer would be paid to the Treasury
As established during the proceedings, the judge noted that the move was intended to prevent a new embargo, a risk the Hércules account faced repeatedly since 2017. The investigation highlighted 33 checks of 60,000 euros each and one check of 15,772 euros, all drawn in Hércules’ favor, which drained the Foundation’s bank balance over time. The inquiry found that the Foundation had no ongoing economic activity or labor responsibilities, and that the four people under investigation were aware of these transactions.
The judge described Parody as having opened a bank account in the Foundation’s name and having issued eight checks for 60,000 euros between October 5 and November 4, 2021, to cover various club expenses. The expenses were processed as they came in, with surplus funds to be repaid by a new check to avoid obstacles to the balance.
Treasury claims it tried to hide the two million that Hércules claimed for Abde before the judge
Further testimony indicated that through March of the year, the remaining checks were used in a single sequence to cover other Hércules expenses. The trainer testified that these actions were taken to avoid settling Hércules’ debt to the Tax Office, and to prevent enforcement actions. The arrangements affected the Treasury’s ability to enforce the tax debt linked to the contract with the Undersecretariat of Treasury from the defendants at the outset.
The agreement Hércules struck with the Tax Office, prompted by creditor pressure for a favorable loan payment of 10.4 million euros, started with an initial two million euro payment and a schedule for the remainder. The Treasury ultimately settled this in 2017, leaving a portion of the debt unpaid to date, according to the court record.
Judge Carrascosa directed the parties to file indictments or move for dismissal or an oral proceeding. Parody’s defense attorney Ignacio Gally requested the testimony of Michael Campoy, the former head of the Foundation, who sought to appeal a decision. The judge also rejected another procedural request from the popular accusation, deeming it not pertinent to the ongoing research.
Caja Rural claimed it did not cooperate in the alleged crime and acted in accordance with regulations. Judge Maria Luisa Carrascosa later ruled to exclude the Caja Rural procedure and one of the branch managers from the case, stating that the investigative actions did not support the original accusatory theory. The judge asserted there was no evidence that the financial institution aided or knew about criminal activities, nor that its executives acted improperly. He added that the bank followed money-laundering regulations and adhered to the instructions given to Hércules and the Foundation as clients.
Regarding the director, the court said that there was no evidence to prove complicity in the crime, even indirectly. The decision underscores that the acts of cooperation by the director could not be established beyond reasonable doubt.