King Charles and Prince Albert of Monaco have been friends for decades, sharing both a love for the environment and a unique bond as two of Europe's top royals.
Albert, 67, and his wife Princess Charlene, 47 – a former South African Olympic swimmer – were among the first guests to confirm their attendance at Charles's coronation. And Albert was quick to send his old pal his best wishes after the King's cancer diagnosis last year.
But now the billionaire ruler of the super-rich Mediterranean city-state is facing a major crisis dubbed 'Monacogate' as his former right-hand man is said to have revealed details of hidden offshore funds and payments to his former lovers.
Claude Palmero, 68, who was sacked in 2023, claims that he maintained "bachelor pads" and organised the finances for Albert's two former mistresses – both before and AFTER his marriage to Princess Charlene in 2011.
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In 2012, Palmero says he was asked to find a small second home for Albert away from prying eyes and in 2017 the prince "asked him to 'make sure his bachelor pad was ready' because he was preparing to go there," according to French newspaper Le Monde.
He also described buying a £6.5million apartment in Knightsbridge for Nicole Coste, a former airline stewardess with whom Albert had a son before he was married. "So that Charlene wouldn't find out, [Albert] set up a trust of which I was the trustee," Palmero said.
The former accountant also described sending funds to Tamara Rotolo, a New York estate agent with whom the prince had a daughter in 1992.
In addition, Palmero is said to have told police in Monaco that he managed secret offshore investments for Albert and other members of the ruling Grimaldi family. He said the prince wanted "as few written records as possible, and wanted his assets to be opaque" and claimed that "each member owns their own Panamanian company".
Ironically, the numerous statements from Palmero were made after Albert himself ordered the police to open an investigation into his former right-hand man, accusing him of breach of trust, embezzlement, forgery and money laundering.
Albert's lawyers have denied all the claims. In a statement, Albert said: "The attacks that [Palmero] makes against me and the state and its institutions show his true nature and the little respect … he has for the family and the principality."
The storm comes as Monaco has been added to the European Commission list of "high-risk" states failing to meet anti-money laundering and anti-terror financing standards. However, Albert's attempts to clean up the murky finances of the tax-free principality have had some success and Emmanual Macron recently became the first French President to visit Monaco since 1984.
The prince, who is the son of Prince Rainier III and Hollywood royalty Grace Kelly, is a former Olympic bobsledder and all-round sportsman. He has two children with Charlene after they met at a swimming gala in Monaco in 2000.
Reflecting on his long friendship with Charles, Albert told People magazine in 2023 the King was "a most patient man. A very educated man and someone with a great sense of humour".
"I admire his fight for several great battles," he added. "For the improvement of architecture. For energy sustainability, against deforestation and on a number of environmental issues. These are concerns on which we've frequently exchanged views."
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