- 13 searches were conducted and 24 people were arrested in Spain in a probe into a €25 million VAT fraud.
- The fraud was orchestrated by an organised crime group with connections to Latin America.
- The searches were carried out in Madrid, Guadalajara, and Cádiz.
- Documents, electronic devices, IT equipment, high-value items, vehicles, and €135,000 in cash were seized.
- Bank accounts have been frozen in Spain, Belgium, Lithuania, and Romania.
- Real estate properties have been seized in Spain and investigation measures have been issued in Latin America.
- The fraud involved the trade of IT equipment and resulted in estimated losses of over €25 million to the EU and national budgets.
- The suspects created a structure using companies in Spain, other EU Member States, and Latin America to funnel acquisitions into their primary company.
- The fraudulent scheme took advantage of EU rules on cross-border transactions and used missing traders to avoid tax obligations.
- The main company distributed the goods at prices below market value, boosting sales and ousting competitors.
- Illicit profits were used to acquire real estate, and the suspects used security measures specific to organised crime groups.
- The parties under investigation are suspected of crimes against public finances, money laundering, and forgery.
- The European Public Prosecutor’s Office (EPPO) is responsible for investigating and prosecuting crimes against the financial interests of the EU.
Source: eppo.europa.eu
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
