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Helga Schmidt, Former General Director of Valencia's Palau de les Arts Opera House, Arrested for Financial Irregularities

Helga Schmidt, former general director Palau de les Arts opera house in Valencia, has been arrested and set free as a part of an investigation into suspected financial irregularities at the opera house’s foundation.

Along with Schmidt, former head of administration of the organization, Ernesto Moreno, was also detained. Schmidt, who took up the post 15 years ago, was due to retire in 2006 but was suspended hours before reports of the financial situation got out.

Though many are shocked that she was arrested, Schmidt has long been criticized for her lavish spending habits, especially on her lodging and travel expense. Last December, she came under fire after it was found out she had spent 391,000 euros on traveling and dining expenses between 2005 and 2011. In 2009 alone, it was reported that she had spent over 2,000 euros a week on these kind of extravagances. The money wasn’t only spent on herself, she also spent it on expensive artists like Lorin Maazel, Plácido Domingo and Zubin Mehta.

Schmidt wasn’t only taking advantage of Palau de les Arts money, she has also been accused of manipulating contracts and accepting commissions on artists she hired for the opera house.

While working at the opera house, she also held a post in Patrocini de les Arts, which many considered to be a conflict of interest, where she received commissions up to 508,000 euros.

Both Schmidt and Moreno have also been accused of using their status to give contracts to personal acquaintances rather than the most deserving applicants.

Still, some believe that the arrest is too harsh, considering none of her endeavors were actually illegal. She was released soon after her arrest on police bail. So far, no more news has been released about any further legal action.

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