José Luis Rodríguez Zapatero, who served as Spain's prime minister from 2004 to 2011 leading two successive Socialist governments, is now under formal investigation for suspected tax fraud and smuggling after police discovered jewellery valued at more than €1.3 million in his office safe. The find marks a significant escalation in the former leader's legal troubles and represents the first time in Spain's recent democratic history that a former prime minister has been placed under formal criminal investigation.

The jewellery — including necklaces, bracelets, rings, watches and earrings crafted with gold, sapphires and emeralds reportedly originating from Zambia and Thailand — was uncovered on 19 May during a search of Zapatero's office conducted as part of a separate, pre-existing inquiry. Judge José Luis Calama of the Audiencia Nacional, Spain's highest criminal court, opened the new investigation after an expert assessment placed the collection's value at €1,323,915. The judge noted that the apparent absence of tax documentation relating to the jewellery's acquisition was sufficient grounds to proceed, stating that "the possession of high-value luxury goods, coupled with the lack of tax traceability regarding their acquisition, constitutes an objective and rational indication of the possible existence of significant tax fraud."

Zapatero's spokesperson initially estimated the jewellery's worth at between €30,000 and €50,000, a figure that has since been dramatically revised. The spokesperson apologised on Friday for "unintentionally misleading people" and said that some pieces had been inherited by Zapatero and his wife, while others were acquired during foreign trips. Both the former prime minister and his spokesperson have pledged to provide the judge with a full explanation. Zapatero, who is due to appear in court later this month, has denied any wrongdoing.

The jewellery case adds to Zapatero's existing legal difficulties. He is already under investigation in connection with the 2021 government bailout of Plus Ultra, a Spanish airline that received €53 million from a state fund established to support companies affected by the Covid-19 pandemic. Prosecutors allege that Zapatero oversaw "a hierarchical structure of influence-peddling" designed to benefit third parties, including Plus Ultra, in exchange for commissions. He has consistently denied receiving any payments or taking any action related to the airline's rescue.

The investigations carry broader political weight. Zapatero remains a prominent figure within the Socialist Party and is considered a close ally of current Prime Minister Pedro Sánchez, who is himself navigating a series of corruption cases touching his wife, his brother, senior party officials and his administration. Last month, police raided the Madrid headquarters of the Socialist Party and seized documents as part of a separate corruption inquiry. The accumulating legal pressures on figures across Spain's ruling political network have intensified scrutiny of the party at a sensitive moment for the government.