SDOE uncovers major retail chain VAT-dodging racket

The Financial Crimes Squad (SDOE) has uncovered a major tax evasion racket that started from a warehouse at Koropi, eastern Attica, and stretched to several countries including Spain and Hungary.

It involves a company called Orbicom, which has evaded payment of value-added tax to the tune of almost 70 million euros, for which the fines would total 1.3 billion euros. Among its clients are a number of electronics stores in Athens, while its suppliers are believed to be other firms headed by people from Belarus and Cyprus.

However, Orbicom, based in Kapandriti, northern Attica, is at the center of the case, according to a report by SDOE, which started its investigation in 2009. It appears to have two Greek shareholders as well as a Cypriot company as owners.

Firms including SPID, Winextrade, Xtreme Audio, Fidelta, Sycor, Rospalco, Propin and Ziltimex appear to have been issuing sale invoices to Orbicom. However, according to the drivers of the trucks that supposedly transported the electrical goods, those trips to and from the Kapandriti-based firm were never made. That set the ball rolling for SDOE. Some 53 firms are thought to be involved.