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Portuguese PM accused of tax evasion

Xinhua, March 2, 2015 Adjust font size:

Portuguese Prime Minister Pedro Passos Coelho has been accused of tax evasion by former director of the Social Security Institute Edmundo Martinho, according to local media reports on Monday.

Martinho, who directed the Institute when former prime minister Jose Socrates was in cabinet, claims Passos Coelho evaded tax during the period of five years, between 1999 and 2004.

Passos Coelho said that he was never notified of his debt and only became aware of his debt in 2012.

"Any citizen, particularly who has the status of an independent worker, knows that every month, he has to pay contributions to social security in accordance to his income tax bracket defined under the law," Martinho told local media.

Passos Coelho has now paid off around 4 million euros (4.48 million U.S. dollars) of his debt, newspaper Publico reported.

He came under fire by opposition parties on Sunday, with the Socialist Party demanding a "full explanation" on behalf of the prime minister and the Communist Party saying that Passos Coelho's "excuse" was "lame."

However, Minister of Social Security Pedro Mota Soares said the prime minister was "victim of errors by the very administration." Endit