Lomellina rice fraud: 14 companies seized for 10 million euro organic scam

Authorities in Italy have uncovered a massive fraud in the organic rice sector in the Lomellina region of Pavia. Following a three-year investigation triggered by reports from Federbio, the Guardia di Finanza and ICQRF inspectors have seized assets exceeding 10 million euros from 14 agricultural companies.

Investigators found that the companies were cultivating rice using prohibited pesticides and chemical fertilizers to achieve yields significantly higher than standard organic levels. While the crops were treated with conventional methods, they were falsely labeled and sold as organic products at premium prices. This scheme allowed for the sale of approximately 40,000 tons of rice, generating an estimated 9.8 million euros in illicit commercial profits.

In addition to market fraud, the companies are accused of defrauding the European Union by obtaining approximately 400,000 euros in public subsidies through the Common Agricultural Policy (PAC) intended for rural development and organic farming. Laboratory tests on plant samples confirmed the presence of unauthorized substances, supporting the charges of fraud in commerce and aggravated fraud for the acquisition of public funds.