Government’s first reshuffle stirs controversy
Silvério Regalado, who has been named Secretary of State for Local Administration and Territorial Planning, awarded five direct contracts worth a total of €209,409 to PM Montenegro's former law firm.
The Government has undergone its first cabinet reshuffle since taking office.
However, the appointment of one of the new secretaries of state has already drawn criticism due to past dealings involving Prime Minister Luís Montenegro’s former law firm.
Silvério Regalado, a member of the Social Democratic Party (PSD) and former mayor of Vagos, has been named Secretary of State for Local Administration and Territorial Planning, to replace Hernâni Dias, who resigned after it emerged that he established two companies that could stand to profit from the government’s new Land Law—legislation he helped draft.
The appointment has raised eyebrows due to contracts signed between the Vagos municipality and Sousa Pinheiro & Montenegro (SP&M), a law firm where Prime Minister Luís Montenegro was a partner until 2022.
According to documents obtained from the public procurement portal Portal Base, between 2015 and 2021, the Vagos municipality awarded five direct contracts worth a total of €209,409 to SP&M for legal advisory services.
These contracts were signed during Regalado’s tenure as mayor. The first contract, worth €24,900, was signed on March 30, 2015, followed by four others over the next six years.
The controversy deepened as it was revealed that SP&M had signed a total of 15 direct contracts with public entities between 2014 and January 2022, amounting to approximately €679,000. Five of these contracts were with the Vagos municipality, and another five were with the Espinho municipality, both led by the PSD at the time.
Luís Montenegro, who held a 50% stake in SP&M, sold his shares before being elected PSD president in July 2022. He has vehemently denied any wrongdoing, stating that the contracts were for legitimate legal services and had no connection to the ongoing Operation Vortex corruption investigation, which involves former Espinho mayor Joaquim Pinto Moreira.
In a January 2023 interview with SIC, Montenegro expressed outrage at attempts to link him to the scandal, asserting that there was no conflict of interest in the contracts signed by his former firm.
He also pledged to leave politics if he were ever found to have violated ethical standards.
The contracts were first brought to light by the Left Bloc party in 2015 and were later reviewed by the Parliamentary Ethics Committee in 2017. The committee concluded that there was no legal or ethical breach in Montenegro’s dual role as a lawyer and MP at the time.
New Cabinet Appointments
The reshuffle also saw the appointment of five other secretaries of state:
Maria Luísa Oliveira: New Secretary of State for Administration and Educational Innovation. Oliveira holds a degree in Geography and Regional Planning and a master’s in Educational Sciences. She previously served as Director-General of School Administration.
Filipa Lima: New Secretary of State for Social Security. Lima holds a PhD in Economics and is an adjunct professor at Nova Information Management School. She also serves as deputy director of the Systems and Technologies Department at the Bank of Portugal.
Jean Barroca: New Secretary of State for Energy. Barroca holds a master’s in Business Management and is the Global Leader for Public Sector Digital Modernization at Deloitte. He previously worked as a consultant for the World Bank.
Carla Rodrigues: New Secretary of State for Equality. Rodrigues holds a law degree and served as a PSD MP for Aveiro. She chaired the National Council for Medically Assisted Procreation and coordinated a working group on the Istanbul Convention.
Alberto Santos: New Secretary of State for Culture. Santos, a writer and former mayor of Penafiel, is known for founding the Escritaria literary festival. He has also served as administrator of the Douro, Leixões, and Viana do Castelo Ports Authority.
While the reshuffle aims to bring fresh energy to the government, the controversy surrounding Regalado’s appointment has cast a shadow over the changes.
Critics argue that the direct contracts raise questions about transparency and potential conflicts of interest, while supporters maintain that the appointments reflect Montenegro’s commitment to experienced leadership.