Police arrest 59 people over alleged €100 million Horiatiko tax fraud
Authorities seized about €6 million linked to the ringleader and charged suspects with tax and laundering offences.
Police arrested 59 people over an alleged €100 million tax fraud scheme centred on Greece’s Horiatiko bakery chain, state broadcaster ERT reported.
Among the suspects is a former power company trade union leader, accused of playing a central role by setting up strawmen to run dozens of front companies used to move the scheme.
All 59 face charges of tax evasion, social security contribution fraud and money laundering. Investigators say the alleged ringleader owned nightclubs and restaurants in Athens’ southern suburbs, and on party islands including Mykonos, Rhodes and Zakynthos.
Police are also investigating a link to sex-trafficking allegations involving strip clubs on Syngrou Avenue in Athens, where a 90-year-old man from Salamina was allegedly legally responsible.
The main suspect had been investigated in 2008 over alleged sex trafficking and money laundering through the bakery network. He was arrested early Sunday in the northwestern town of Ioannina, with authorities saying they believed he was planning to cross into Albania and then travel on to Dubai.
The investigation involves more than 200 bakeries and other establishments, with a total of 460 companies allegedly used for the operation. Authorities say most were nominally run by people paid up to €1,000 a month as screens for the main suspect.
Police have sequestered around €6 million from bank accounts linked to the suspect and seized an additional €250,000 in cash during raids.
The case is ongoing as authorities continue to investigate the network and alleged offences.
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Source:
eKathimerini.com