European prosecutors have arrested five individuals in an investigation into a large-scale VAT fraud scheme involving €114 million. The operation, conducted across multiple EU member states, targeted businesses that submitted false tax returns to claim refunds. The suspects were identified through coordinated efforts between national tax authorities and the European Public Prosecutor’s Office (EPPO).
The investigation revealed a network of individuals who manipulated VAT systems in several countries, including Greece, Cyprus, Germany, and Italy. The suspects allegedly created fake invoices and transactions to inflate tax claims, leading to significant financial losses for public budgets. Authorities executed searches and seized documents in all involved countries.
This case marks one of the largest VAT fraud operations uncovered by the EPPO. The investigation began after reports of irregularities in tax filings across the EU. The operation highlights the complexity of cross-border tax evasion and the need for enhanced cooperation between member states. The suspects face charges of fraud and tax evasion, with further legal proceedings expected in the coming months.
