EPPO Secures Third Conviction in €100 Million VAT Fraud VoIP Case, Code-Named Cuba

• EPPO in Munich secured a conviction in a €100 million VAT fraud case involving VoIP sales
• This is the third conviction in the investigation of a criminal network named Cuba
• On 8 April 2025, a member was convicted of organised VAT fraud by the Landshut Regional Court
• The fraud involved claiming VAT refunds using fraudulent invoices in a VAT carousel scheme
• The scheme exploited EU rules on cross-border transactions exempt from VAT
• The convicted individual caused an estimated €7.3 million in unpaid VAT
• The overall fraudulent scheme is estimated to have caused €100 million in damage
• The defendant received a two-year probation sentence and €7.3 million was confiscated
• Two others were previously sentenced to 5 years and 9 months and two years on probation
• The investigation was supported by the Tax Investigation Office in Leipzig
• EPPO is responsible for handling crimes against the EU’s financial interests

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.

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