Investigating Judge Mercedes Alaya on Wednesday sent former Andalusian labor department chief Javier Guerrero back to prison. The anticorruption prosecutor had requested that Guerrero, the man at the center of the so-called ERE case — an investigation into an alleged multimillion-euro fraud scheme involving a public fund set up to help firms pay severance packages to laid-off workers — be imprisoned without bail as he poses a flight risk.

The prosecution issued the request after the controversial former head of the Andalusia labor department appeared before Judge Alaya in Seville as the Civil Guard began a new phase of its investigation to shed light on the awarding of unwarranted public subsidies to companies supposedly undergoing restructuring processes. The anticorruption prosecutor stated that Guerrero, who had already served prison time in the case but was until Wednesday out on bail, might also attempt to destroy evidence.

Launched on Wednesday morning, Operation Heracles has already resulted in around 20 arrests with civil guards conducting searches at addresses in Madrid, Seville, Barcelona, Granada, Jaén, Cádiz and Las Palmas. The number of arrests was expected to rise to 30 by the end of the day. The government’s delegate in Andalusia, Carmen Crespo, says the searches affect those suspected of acting as intermediaries in the fraud case by offering services to companies in order to obtain financing for their restructuring processes.

Among the properties being searched are the Madrid headquarters of Vitalia, which runs day centers for the elderly, and the Jerez offices of consultants Uniter. Civil guards are also searching the Seville offices of insurance company Generali.

Those arrested include the president of the Eurobank group, Eduardo Pascual, and company board member María Vaqué. Both have previously been named in the Eurobank case, which is being investigated by the National High Court.

Sixty people are already under investigation in the ERE case, which centers on the alleged awarding of early retirement packages and grants to individuals and firms who did not qualify.