Simple Agreement and Legal Proceedings
The agreement was quite straightforward. The two hotels were to proceed with the consolidation of the slope, and the city council would exempt them from fees, stated Patrocínio Azevedo during the fifth session of the trial at the Vila Nova de Gaia court. The Babel Operation, linked to alleged misconduct and violations of regulations in urban licensing processes in Gaia, involves 16 defendants, including Azevedo, real estate entrepreneurs Paulo Malafaia accused of numerous economic crimes such as corruption and influence trafficking.
Allegations Against Promoters
The Public Prosecutor’s Office claims that Paulo Malafaia conspired to develop real estate projects in Vila Nova de Gaia, notably the so-called Skyline/Cultural and Conference Center, Riverside, and Hotel Azul. They allegedly received favoritism from the former vice mayor of Gaia, who, in exchange, would receive money and material goods, including watches.
Costs and Responsibilities
The former mayor, currently in preventive detention since his arrest in May 2023, explained that consolidating the slope lands, owned by third parties, would cost about 470,000 euros. This amount was to be shared between the two hotel developers: Hotel Azul, operated by Fortera, and Hotel Riverview, managed by Mercan Properties. He added, “Today, just like on that day, if the city council were to handle the slope consolidation independently, it wouldn’t be enough with 900,000 euros.”
According to Azevedo, the companies would cover these costs, and in return, the municipality would compensate them by reducing or waiving fees for other real estate projects they would develop in the city. However, the agreement ultimately fell through because one of the promoters found another solution.
Public Interest and Accountability
The former vice mayor clarified that the responsibility for cleaning up the slope lands should lie with the property owners. However, the city council faced challenges in notifying some of them, leading to this agreement with the promoters. In his view, he advocated “clearly” for what he believed to be in the public interest.
“My difficulty is that I am not being judged for what I did, nor for what I intended to do; my difficulty is that I am being judged for what they thought I intended to do,” he stated. For Patrocínio Azevedo, the “original sin” in this project is that the Civil Protection authority should have acted from the very beginning.
Denial of Financial Gain
In related news, the former vice mayor of Gaia has denied receiving “any cent.” As the trial unfolds, the implications of the case continue to raise questions about accountability and governance in urban development.