Germany and Belgium | European Investigation into Tax Fraud Exceeding €60 Million | CUAC

Civil Union – Follow-up The European Public Prosecutor’s Office (EPPO) is investigating a large-scale value-added tax (VAT) fraud case involving estimated tax losses of more than €60 million. The EPPO announced the arrest of two individuals and the search of 20 residential and business premises in Germany’s North Rhine-Westphalia and in Belgium as part of an investigation codenamed “Money Cat.” The case currently involves nine suspects who are believed to be part of a criminal network operating across Germany, France, and Belgium. Authorities suspect that shell companies and fraudulent invoices were used in a scheme to evade VAT, with allegedly fictitious invoices issued for more than €11 million. Financial investigations also revealed the transfer of large sums through international banking channels before the money was converted into cash and redistributed within the network. Transfers to accounts in several countries, including China and Türkiye, were also identified. During the searches, authorities seized large amounts of cash, watches, luxury handbags, and vehicles valued at approximately €300,000, as well as a loaded firearm. The value of the frozen bank accounts is still being assessed. The EPPO stressed that all persons concerned are presumed innocent until proven guilty by the competent courts, and that the amount of tax losses remains subject to investigation. Source: European Public Prosecutor’s Office (EPPO)