DOZENS of people have been arrested over their alleged complicity in a social security scam defrauding the taxman of more than half a million euros. National Police swooped on members of the syndicate in a highly coordinated effort across Malaga Province. A total of 47 people, both Spanish and foreign citizens were apprehended.
The racket involved the use of two fake companies which were set up with fraudulent contracts for non-existent employees. They would then collect social security contributions from the state ranging from €250 to €500 per worker.
With more than 50 ‘employees’ pretending to have worked almost 14,000 days, the fraudsters charged the state just over €534,000 in contributions.
Police believe they have captured all of the orchestrators, who are charged with public fraud and falsifying documents. Both ‘companies’ are also believed to have helped regularise the working situation of foreign nationals by illegal means.