Estepona City Council fined 1.2 million euros for irregularities in urban development agreement under PSOE government
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The urban development agreement signed in 2005, which required a modification of the General Urban Development Plan (PGOU) of the municipality, was never implemented due to violations of town planning laws. The amounts paid by the company, totaling 1,225,242.99 euros, were used by the socialist government to cover current expenses, including the salaries of municipal employees, in violation of the Law of Urban Planning of Andalusia (LOUA). The High Court of Justice of Andalusia (TSJA) ruled that the Estepona Town Hall must pay 1.2 million euros, plus interest, for this irregular agreement. The company demanded nullity of the agreement, restitution of the amounts paid, and legal interest. The Spatial Plan of Andalusia already restricted excessive land development, which the Estepona City Council exceeded by entering into multiple urban development agreements. The current government, led by Mayor José María García Urbano, inherited a significant debt in 2011 and has been dealing with the consequences of these irregular agreements. The mismanagement of the socialist administration continues to burden the municipal coffers, with millions of euros being paid to settle these debts.

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Stacey Watson

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