Impact of alleged espionage case on Spanish company BBVA difficult to assess, supervisor says

MADRID (Reuters) – The head of Spain's stock market watchdog, Rodrigo Buenaventura, said on Friday it was difficult to assess the potential impact of an alleged espionage case on second-largest lender BBVA Spanish, in terms of fines or damage to reputation.

A Spanish High Court judge on Thursday proposed that BBVA and its former chairman face trial for alleged corruption and disclosure of corporate secrets following an investigation into allegations of corporate espionage.

“Cases like this can have repercussions on issuers, on people who have worked or who work with managers of the establishments, and it is difficult to predict at this stage the consequences of possible sanctions or the reputational consequences that the matter could have on the transmitter, “Buenaventura said.

BBVA was investigated in July 2019 for hiring a private investigation agency believed to be headed by former police commissioner José Manuel Villarejo. The case is part of a broader investigation dating back to 2004 into Villarejo, who has denied any wrongdoing.

Former President Francisco Gonzalez's legal representatives declined to comment Thursday, while a BBVA spokesperson said no criminal liability “arises for the entity from the events under investigation.” and that his priority had always been to cooperate fully with the courts.

(Reporting by Jesús Aguado; additional reporting Emma Pinedo; editing by David Latona)