Austrian police arrest nine in multi-million euro fraud investigation

Austrian police conducted a large-scale operation against organized illegal labor and financial fraud across four federal states: Vienna, Styria, Carinthia, and Burgenland. During raids on 18 locations, nine individuals were arrested as part of an investigation involving approximately 40 suspects.

Investigators believe a network of at least 25 fictitious companies, primarily operating in courier, express delivery, and small transport services, caused damages totaling at least 3.5 million euros. The scheme allegedly involved using foreign nationals as formal directors to evade state and social security obligations.

According to the prosecution, the suspects used false identities and inaccurate data to report workers to the Austrian Health Insurance Fund (ÖGK) at lower contribution bases, while the employees actually worked full-time for other entities. The operation was coordinated by the Styrian Criminal Police under the direction of the Austrian Prosecution Office for Economic Crime and Corruption (WKStA).