The prime minister has now resigned and Portugal will return to the vote on March 10, 2024, but he was not the António Costa mentioned in the “Operation Influencer” interviews that overwhelmed the socialists in government. He was almost a namesake, namely António Costa Silva, his Minister of Economy.
The oversight in the cards
The defense of Diogo Lacerda Machado, one of the five supporters of the prime minister arrested on Tuesday, reported the mistake to the judges. The Prosecutor’s Office acknowledged the error in the transcription of a telephone conversation recorded on August 31, 2022 between Lacerda Machado and a company manager regarding one of the projects (the data center in Sines) on which the corruption investigation is focused. The wording of the ordinance ended with “Costa,” but the full last name can be heard in the audio.
The entire sentence reflected, among other things, which department should be investigated: “If it is about the economy, I will find a way to reach António Costa.” Minister Lacerda Machado clarified this during the interrogation in Lisbon. To reach the head of government – his personal friend, from whom he had received extensive dossiers in the past – a phone call would have been enough. Hence the formula.
On television, Costa claimed he was innocent and knew nothing about the investigation. He resigned amid suspicions that he said were inconsistent with his mandate when the Supreme Court confirmed that he was under investigation for alleged influence peddling. Before inviting him (twice), the President of the Republic Marcelo Rebelo de Sousa received on Tuesday the Attorney General Lucília Gago in Belém.
Corrected, this would be the only explicit appearance of the Prime Minister’s name in the papers so far, although other wiretaps still need to be processed. The 42 searches included the headquarters of two ministries and the prime minister’s residence. Here, at the Palacio São Bento, agents discovered more than 75,000 euros in cash in the office of Costa’s chief of staff, Vítor Escária. Banknotes hidden between books and even in wine boxes. Yesterday the preventive detention for Escária and Lacerda Machado was confirmed.
The institutional crisis
Then there is the other aspect, namely the permits for lithium mines in the north of the country. Even if everything ended with Costa’s dismissal (currently only an investigation is underway), the damage to his image would remain. The credibility of the government and a system of power is at risk. Infrastructure Minister João Galamba is among the nine defendants.
A reshuffle will not be able to stem another scandal, also because de Sousa has now dissolved parliament. On Saturday evening, Costa unloaded on his inner circle in a speech to the nation. He spoke of shame and betrayed trust. He apologized to the Portuguese. About his relations with Lacerda Machado, once described as “my best friend”, he said that “a prime minister cannot have any” because the longer he governs, the less he has left. And he has been in power since 2015.
He will remain on an interim basis until March, including to close the finance company. A season with Mário Centeno, the former president of the Eurogroup, was ruled out. Costa was considered one of the favorites to succeed Charles Michel at the head of the European Council in the next round of appointments. “I will most likely never hold public office again,” he said Saturday. Before the final twist.