The Greek Independent Authority for Public Revenue has dismantled a major organized crime ring that exploited hundreds of straw men to run 380 businesses, accruing debts totalling €43 million.
Greek tax authorities have uncovered a highly organized crime ring that misused 205 individuals, primarily of foreign origin, as intermediaries responsible for 380 businesses, including well-known fast-food chains. This operation was orchestrated by a core group of 10 Greeks and one foreign national, who were arrested after a coordinated raid on their homes by the tax inspectors.
The investigation was supported by the implementation of a specialized algorithm utilized by the Independent Authority for Public Revenue (AADE) to monitor business transactions and assess the tax behavior of these companies. It was through the algorithm's alerts that authorities began to track the irregularities associated with this extensive web of straw men, leading to actionable intelligence.
The revelation of this criminal organization not only highlights the challenges posed to the Greek economy through fraudulent practices but also emphasizes the effectiveness of advanced data analytic tools in identifying tax evasion schemes. With debts amounting to €43 million, the dismantling of this ring is a significant step towards addressing such tax fraud in Greece and restoring integrity in business practices.
