“Paper Dragon”: Authorities uncover tax evasion ring involving 287 Chinese-owned businesses

Operation “Paper Dragon”: 287 retail stores of Chinese interest active in Greece were found out to have committed big scale tax evasion

The international organized tax evasion ring involving Greek and Chinese businessmen, accountants and technicians was supplying companies with cash registers, specialized algorithm mechanisms and software to avoid paying taxes.

It was the Independent Authority for Public Revenue (AADE) and the Hellenic Police that revealed the fraud following complaints by customers.

AADE Governor George Pitsilis announced on Thursday that through anonymous complaints on the relevant platform and the “ appodixi” [receipt] application companies in Komotini, Larissa and Thessaloniki were identified for issuing receipts with unreadable QR codes.

The investigation found that these companies were transmitting amounts to AADE that were reduced by 90% compared to the actual value of the receipts.

These companies, along with 285 others of Chinese interest had also procured mechanisms and software from the same suppliers.

The operation was conducted simultaneously in 11 locations across Greece: Kallithea, P. Faliro, Patisia, Porto Rafti, Komotini, Kos, Thessaloniki, Ioannina, Karditsa, Larissa and Corinth.

According to ANT1 TV, at least one Greek who was previously involved in companies suspect of tax evasion, has been identified, while the mastermind is a Chinese national based in Slovakia.

PS Years ago, when I asked at a Chinese store why they don’t issue a receipt, I was told “Then our products wouldn’t be so cheap!”