Canary IslandsChildrenCorruptionCrimeNewsRefugees and undocumented migrants

Spanish Police Uncover €2.4 Million Scheme Embezzling EU Funds Meant for Migrant Children

Canary Islands: How a Charity and a Businessman Ended Up at the Heart of the Next Generation Funds Scandal

Police have concluded an investigation into the illicit appropriation of millions of euros allocated for supporting underage migrants in the Canary Islands. The case involves shelter administrators, a local entrepreneur, and the Siglo XXI foundation.

A major investigation has concluded in the Canary Islands, uncovering the embezzlement of more than €2.4 million intended to support underage migrants. At the center of the case are four shelter managers, a real estate entrepreneur, and the Siglo XXI foundation, all accused of mishandling European Next Generation funds.

Since 2020, the flow of underage migrants to the archipelago has surged, forcing local authorities to enlist non-profit organizations for accommodation and care. Each child’s daily allowance reached €90, with the total number in care exceeding 5,000. This strain led to failures in oversight and numerous complaints about living conditions.

The audit revealed that the Siglo XXI foundation, based in Madrid, received over €12 million from the Canary Islands’ budget to operate four shelters in Gran Canaria and Lanzarote. However, investigators found that part of these funds was siphoned off through fake services, double bookkeeping, and unjustified banking transactions. Authorities also flagged suspicious property rentals: a businessman connected to the foundation leased venues at inflated prices, earning himself more than a million euros above market value.

Other violations have surfaced at the same time. In several shelters, children were found living in unacceptable conditions, and in one of the complexes, cases of abuse were reported in 2021. This led to the closure of the facility and criminal proceedings against its management. Later, it emerged that staff at a center in Lanzarote may have forced teenagers to commit illegal acts, although the results of this investigation have not yet been released.

Authorities in the Canary Islands and the prosecutor’s office have come under fire for ignoring warning signs and failing to respond to reports of violations over a long period. Despite numerous complaints, most shelters continued operating with little oversight. A financial audit has now been ordered to determine the exact amount of stolen funds and the extent of each participant’s responsibility.

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