Those accused in the case of a major network involving front companies and “front men”, which allegedly caused losses of more than €206 million to the state and social security funds, will begin giving their statements today before Thessaloniki’s third special investigating magistrate.
The process is expected to continue tomorrow and the following day, as 16 people arrested in recent days appear before the magistrate. They include businesspeople, accountants, a lawyer and so-called “front men”. The case file includes more than 1,200 people in total.
The accused will be called on to answer questions over a series of serious criminal offences, including directing, forming and participating in a criminal organisation; fraud against the Greek state causing losses of more than €120,000 on a continuing basis; complicity in the same offence; forgery against the state causing losses of more than €120,000; and money laundering repeatedly and in the course of a profession.
The Independent Authority for Public Revenue (AADE) investigation focused on 917 companies, which are alleged to have caused losses of €206.2 million to the state and social security funds, including about €138 million in taxes and €68 million in social security contributions.
The investigation began in April 2024, uncovering a sprawling network of four rings involving accountants and the use of dozens of “front men”. They appeared as managers and partners in hospitality and nightlife businesses in Thessaloniki, Halkidiki and other areas, while the real business owners were allegedly behind them.
According to the case file, the real business owners operated behind front companies managed by people with no financial means, including employees of the businesses themselves. A total of 80 front men were identified, 12 of whom were dead, yet invoices and other documents continued to be issued in their names.
Among the most striking findings are cases of employees shown as owing millions of euros. A cashier is alleged to owe €18.4 million, a kitchen porter €2.6 million and a delivery driver €3 million.
SOURCE: AMNA