Monaco's Royal Prince and His Financial Secrets Unveiled by the Trusted Manager in Charge
Monaco's Royal Family Enmeshed in Scandal Over Longtime Financier
Claude Palmero, a trusted confidant for over two decades, managed the finances of Monaco's royal family with an expansive remit spanning investment portfolios and private expenses. His role as a financial gatekeeper, respected by Prince Albert II and his sisters, is now in question due to allegations of financial mismanagement and wrongdoing.
The investigations began subtly, with French authorities identifying irregularities in accounts linked to the royal family in 2023. Initially, these irregularities appeared insignificant, but they soon snowballed into a comprehensive inquiry. Beneath the opulent facade of Monaco's prosperity, Palmero's financial activities were subjected to scrutiny.
Faced with growing evidence, Prince Albert II and his sisters filed criminal complaints, accusing Palmero of breach of trust, theft, forgery, and money laundering. This accusation represented a painful betrayal for the prince.
Personal exchanges between the two men, made public by The Wall Street Journal, revealed Prince Albert expressing his need to speak out because of the mounting pressure to clear doubts about his finances. Palmero's control over a substantial portion of the royal family's funds has come under intense spotlight.
One revelation that has caught public attention involved a secret transfer of $15.9 million in 2018 to Nicole Coste, the prince's former lover and mother of his child. According to Palmero's notes, the transfer was executed under the prince's request for complete confidentiality, to avoid disclosure to his wife.
The monetary flow didn't end there. Palmero facilitated multiple transfers for private expenses, staff, residences, and other costs, some originating from accounts that were not officially recorded. Nearly $800,000 in private expenses slipped through the cracks, and a $795,000 suspicious transaction surfaced, which Palmero justified as reimbursement for off-the-books expenses over the years.
It emerged that Palmero had intertwined his own investments with the prince's funds. At one point, Palmero managed over $113 million in combined capital.
When confronted by investigators, Palmero shifted the blame onto the prince. "He now pretends that for 22 years he knew nothing about the state or management conditions of his own assets?" Palmero said. "He is the sovereign of a state! Either he is lying or he should step down."
The prince, in the past, acknowledged being detached from financial details. In a 2021 interview, he admitted that his distance allowed him to experience the feeling of earning a paycheck, though it didn't hinder his income in Monaco.
This distance may have enabled Palmero's activities to elude scrutiny for years.
The scandal has impeded Prince Albert II's charitable intentions. A planned $2 million donation to Amherst College was held back due to complications in liquidating some of Palmero's investments, restricting the prince's access to funds.
The investigation into the matter is ongoing. The royal family has issued a statement, assuring that necessary steps have been taken to address the situation.
According to some reports, the royal family's reputation and internal dynamics have been tested by the unfolding scandal. As the investigation continues, further revelations are anticipated.
In the midst of Monaco's royal family scandal, investigations revealed that Palmero, the long-time financial confidant, managed funds for not only the royal family's investment portfolios but also their private expenses, which extended to entertainment spending, celebrities, and pop-culture expenditures. This financial gatekeeper, entrusted by Prince Albert II and his sisters, was accused of breach of trust, theft, forgery, and money laundering, creating tumultuous waves in the business world and Monaco's entertainment circles.
