Spain investigates CAF’s role in Jerusalem Light Rail Project amid Human Rights allegations

Madrid, Spain (Metro Rail Today): New Delhi/Madrid: Spain’s Public Prosecutor’s Office has initiated an investigation into Construcciones y Auxiliar de Ferrocarriles (CAF) over its involvement in the Jerusalem Light Rail (JLR) project, following a complaint filed by a coalition of six Palestinian civil society organisations in February.

The development marks a significant escalation, as the Spanish Ministry of Justice has decided to incorporate the complaint into a pre-trial investigation already opened last year by Spain’s National Court, linked to alleged violations of international humanitarian law in Gaza.

The complaint targets CAF’s Board of Directors and executives of its six Israeli subsidiaries, alleging potential involvement in activities that could fall under serious violations of international law.

The Prosecutor’s Office is examining allegations including:

• Illegal transfer of population
• Racial segregation
• Maintenance of discriminatory and inhumane practices

If proven, such violations could attract penalties under Spain’s Criminal Code, with prison terms ranging from 10 to 15 years for individuals responsible for strategic decision-making.

Legal Context and International Implications

The case is being pursued within a broader legal framework, as Spain acknowledges its obligations toward international judicial bodies such as:

• International Court of Justice (ICJ)
• International Criminal Court (ICC)

By integrating the complaint into an ongoing investigation, Spanish authorities are effectively expanding the legal scrutiny around corporate involvement in conflict-linked infrastructure projects.

CAF’s Role in the Jerusalem Light Rail Project

CAF has been a key player in the Jerusalem Light Rail project since 2019, when the TransJerusalem J-Net consortium—a joint venture between CAF and Israeli firm Shapir—was awarded a major concession.

Project Scope Includes:

• Construction of a new light rail line
• Extension of existing routes, including sections in East Jerusalem
• Operations and maintenance (O&M)
• Supply of 114 Urbos 100 trams
• Refurbishment of 46 Alstom Citadis LRVs

The project is currently under execution and is expected to be completed by 2027.

UN Blacklist and Previous Scrutiny

In September 2025, CAF was included in a United Nations database (commonly referred to as a blacklist) of companies linked to activities in Israeli settlements.

The listing cited allegations such as:

• Use of natural resources for commercial purposes in disputed territories
• Supplying materials contributing to settlement expansion
• Providing transport services supporting settlement infrastructure

Despite this, CAF has not reported any significant impact on its global contracts so far.

As of now, CAF has not issued any public statement regarding the investigation or the allegations raised in the complaint.

Commenting on the broader implications, Mrs. Mamta Shah, MD & CEO, Urban Infra Group, said:

“As infrastructure projects increasingly intersect with geopolitics and international regulations, companies operating globally must navigate not only technical and commercial challenges but also complex legal and ethical frameworks. This case highlights the growing importance of compliance, due diligence, and responsible project execution in sensitive regions.”

A Case with Global Implications

The investigation into CAF underscores the rising scrutiny of infrastructure companies operating in geopolitically sensitive regions. It also reflects a broader trend where legal accountability, ESG considerations, and human rights compliance are becoming central to large-scale transport and infrastructure projects.

The outcome of this case could have far-reaching implications for global contractors, particularly those engaged in projects linked to disputed territories or conflict zones.