After eight months of investigation, a fraud of around 30 million euros over the last 4 years has been discovered. 11 people have been arrested in 5 searches in Alicante and Muchamiel. The organisation's bank accounts have been frozen and €140,000, seven properties, three vehicles and eight purebred Spanish horses have been seized.

July 30, 2009. The National Police Corps, in a joint investigation with the State Tax Administration Agency (AEAT), have discovered an organized fraud scheme in VAT and Corporate Tax due to the import and sale of footwear and clothing from China. This is one of the largest fraud organisations in the sector and has been operating since 2004.

 

The investigation began in December 2008 and has been carried out jointly by various areas of the Tax Agency (Inspection and Customs) based in Alicante and the Economic and Tax Crime Unit (UDEF) of the National Police Force of Alicante.

 

The fraud committed by the entire network made up of various companies that succeeded one another over time is estimated at 30 million Euros . Appropriate precautionary measures have been adopted to ensure the collection of defrauded tax debts.

 

The investigation culminated in an operation carried out on 28 July under the direction of Court No. 1 of Alicante, with the arrest of 11 people (6 of them Chinese citizens), 5 searches in Alicante and 1 in Muchamiel, the seizure of €140,000 in cash, the freezing of all the organisation's current accounts, the preventive annotation of 7 properties, as well as the seizure of luxury vehicles, 8 purebred Spanish horses and various documents that are being analysed.

 

Start of Research.

 

Following the arrest on 30 January 2009 by officers of the Provincial Brigade of the Judicial Police of Alicante of seven Argentine citizens for an alleged CRIME of ROBBERY WITH VIOLENCE AND INTIMIDATION, investigations were initiated by the UDEF in relation to the victim of the events, (JAVG), due to the lack of justification of the money that he claimed to have been stolen, ONE MILLION AND A HALF EUROS in cash, when on 15/12/2008, he was going to make his deposit into a bank in Alicante, according to him coming from his work activity consisting of receiving large amounts of money in cash, depositing them in various current accounts in his name or in the name of some of his companies and subsequently transferring them to accounts opened in China, the money coming from various Chinese capital companies linked to footwear.

 

Operation of the plot 

 

Through a legal commercial activity as an importer of goods originating in China that are sold without issuing invoices to various companies, mainly footwear companies, located in the town of Elche and managed by Chinese subjects. The result of this hidden activity is a tax crime of around thirty million euros in the last four years. The money obtained is subsequently laundered through multimillion-dollar transfers to various current accounts located in China.

The origin of this money should be placed in the companies run by Chinese citizens, with which JAVG maintains an economic traffic, which would serve as justification for the huge amount of money that it sends.

The people who collaborated with him in the collection, storage, transmission of money and maintenance of the legal cover that tries to justify the commercial volume maintained have also been arrested:

 

• JAVG
• JJR C.
• EJVM
• MPP
• IJRC

 

And those responsible for the Chinese companies that generated the transferred illicit capital:

 

• AX, N/ 16.01.68
• CC, N/ 05.03.78
• ZW, N/ 15.07.66
• RL, N/ 03.11.69 .
• YH, N/ 02.03.62.
• GQ, N/ 15.12.68.

 

During the period under investigation, cash transfers to China through the bank accounts of those arrested amounted to ONE HUNDRED AND FORTY MILLION euros.