The FIOD on Tuesday arrested the director of an employment agency in the construction industry as a suspect of systematic tax and bankruptcy fraud.
The international investigation in Germany, Belgium and Cyprus has ramifications for companies in Brabant and Limburg, according to the prosecutor's office.
Two million
The tax loss is estimated to exceed 2 million euros. In addition, evidence of systematic fraud was searched in 16 places in the said countries. The suspect, who has a home in Limburg, will be arraigned Friday before the examining magistrate in Den Bosch.
Bank vault
In the Netherlands, the FIOD searched a bank vault, six homes and three business premises in Heerlen and the surroundings of Heerlen. In Cyprus, a second home of the suspect was searched. Bank balances were seized there and false passports were found, the prosecution said. Valuables, including a Jaguar, were also seized.
Evidence
Evidence was also searched at a tax consultant's house. Across the border near Heerlen, two homes were searched in Germany. In Belgium, evidence was searched at a construction company.
Dubbed
The FIOD came on the trail of the fraud after a report from the tax authorities. Since 2013, the suspect is alleged to have rigged temporary employment agencies that loaned personnel to construction companies in Limburg and South-East Brabant. Four companies have since been declared bankrupt, leaving behind tax debts. Payroll taxes were withheld but not remitted. After a private limited company folded, the temporary staff transferred to a new company. This happened repeatedly, according to the prosecution.
