International Criminal Network Dismantled in Spain for 17-Million-Euro VAT Scam in High-End Car Market

• An international criminal network involved in a 17-million-euro VAT scam in the high-end car market has been dismantled in Spain.
• The operation was carried out by the Tax Agency, National Police, and Civil Guard.
• 49 people have been arrested for their alleged involvement in a criminal structure that facilitated the purchase of high-end vehicles between companies in Germany and Portugal to avoid VAT payments.
• The operation was directed by the European Public Prosecutor’s Office and involved 14 raids in various provinces.
• Four high-end cars, 84 vehicles, and research-related documentation have been seized.
• 55 bank accounts with a balance of over 500,000 euros and more than 240,000 euros have been seized.
• The investigation began in early 2021 after the detection of three VAT fraud offenses between 2019 and 2021.
• The criminal network used complex systems to evade VAT payments, including the fraudulent application of the Special Regime for Used Goods and the creation of fictitious companies for intra-Community VAT fraud.
• The arrested individuals are believed to be responsible for defrauding more than 17 million euros.
• The seized vehicles were intended for sale to conniving dealers and for use by criminal organizations involved in drug trafficking.
• The investigation also revealed the movement of over 660 million euros through the bank accounts of more than 200 companies.
• The capital originated in Spain, was channeled to the organization’s accounts in Portugal, and then transferred to German accounts of the vehicle suppliers.

Source: sede.agenciatributaria.gob.es

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.

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