Three men matched workers to companies, but did not pay taxes. They caused over 25 million in damage

Police officers from the Pilsen department of economic crime investigators and customs officers worked on the case for more than a year. They managed to catch men aged 53, 50 and 45.

“Their criminal activity consisted in the fact that they supplied various manufacturing companies with labor, which consisted mainly of people from Eastern Europe. They collected payments for their work,” described police spokeswoman Dagmar Brožová.

So that the accused did not have to pay tax, they created a chain of special purpose companies.

“And they installed persons in the position of so-called white horses in their statutory bodies. The tax liability was then transferred to these companies through fictitious tax documents, where the tax became irrecoverable,” continued Brožová.

She added that the trio caused more than 25 million crowns in damage.

Over 70 police officers and customs officials took part in the intervention itself. During the action, when they carried out eleven house searches, they secured a number of evidences, including special purpose company stamps, fictitious tax documents or computer technology.

They also secured real estate worth at least 22 million crowns. “These should serve as partial compensation for the damage caused,” the spokeswoman explained.

One of the three men ended up in custody. There was a fear that he could influence witnesses who had not yet been interviewed and his accomplices. The other two were released. The accused face up to ten years behind bars.