Large-scale VAT fraud scheme involving Bulgarian companies revealed: damages exceeding 46 million euros

The Greek Internal Investigations Service conducted a large-scale police operation in the Attica and Kastoria regions, targeting a criminal network that used Bulgarian companies for VAT fraud.

According to the investigation, which has been ongoing for nearly a year, a complex chain of companies registered in Bulgaria, Cyprus, Czechia, and Greece has been uncovered. They were used to carry out classic "carousel" type VAT frauds through the trade of small electronics within the European Union.

The criminal scheme relied on so-called "missing traders" – companies created specifically for the purpose of evading tax obligations. According to preliminary data, in the period 2021-2025, unpaid VAT has caused damages to the budgets of Greece and the EU amounting to at least 46.9 million euros. An additional 24.2 million euros were incorrectly declared or not paid at all.

During searches of offices and the homes of managers, documents, accounting records, 99,000 euros in cash, and three luxury cars were seized. Particular attention is drawn to the massive seizure of digital assets – cryptocurrencies worth 900,000 euros and other digital assets worth approximately 4.5 million euros were frozen, which is the largest such freeze in Greece to date.

In addition to digital assets, authorities have also frozen 88 real estate properties with a total value of over 4.5 million euros, as well as multiple bank accounts. The investigation is ongoing, noting that all persons involved are considered innocent until a final decision is reached by the Greek court.