# Pizza Fan VAT fraud investigation and labor unrest in Greece > Live situation record from CLSTR: https://clstr.news/situations/pizza-fan-vat-fraud-investigation-in-greece > Updated: 2026-10-26T09:49:14.000Z. Sources: 111. Developments: 4. Greek authorities are investigating the Pizza Fan restaurant chain for an alleged criminal organization responsible for massive VAT and income tax evasion. The investigation, involving the Economic Crimes Division (DAOE) and the Directorate for Combating Organized Crime, has identified 132 suspects, including founder Konstantinos Andaras. Authorities allege the use of specialized software to record cash transactions as ‘kerasma’ (free gifts) to hide approximately 20% of orders, potentially concealing up to €150 million in taxable income and causing a state loss exceeding €35 million. Following the seizure of the company’s central call center and software, operations have been paralyzed, leaving approximately 2,500 employees—including cooks, delivery drivers, and staff across more than 100 locations—facing sudden unemployment and unpaid wages. In response, workers have staged protests, notably at the company’s headquarters in Chalandri, demanding clarity on October salaries, social security coverage, and severance pay. Employees reported learning of store closures via social media rather than official company communications. In Rhodes, the local Labor Center has called for the protection of workers' rights and the suspension of contracts. The General Confederation of Greek Workers (GSEE) and the PASOK party have called for government intervention. GSEE has formally intervened, demanding the immediate payment of all wages and benefits, asserting that the crisis is a direct consequence of management decisions rather than ‘force majeure’. Greek Minister of Labour, Niki Keramei, has stated that the government and the Ministry of Labour will stand by the workers to ensure their rights are protected, noting that all employment contracts remain active and the employer is legally obligated to fulfill wage and insurance duties. ## Claims - Approximately 23 people have been arrested. (disputed by 23 sources) - The alleged fraudulent activity began in 2022. (disputed by 19 sources) - Approximately 2,500 employees are affected by the closure of the stores. (disputed by 9 sources) - Authorities arrested 59 individuals in connection with the investigation. (disputed by 7 sources) - No mass layoffs or contract terminations have occurred at the company as of the current report. (disputed by 6 sources) - The investigation concerns the alleged non-payment of at least €25 million in VAT. (corroborated by 36 sources) - Pizza Fan is under investigation for alleged tax evasion. (corroborated by 29 sources) - Konstantinos Andaras, founder of Pizza Fan, has been arrested. (corroborated by 21 sources) - Specialized software included a 'kerasma' function to complete transactions without issuing receipts. (corroborated by 16 sources) ## Timeline ### 2026-10-26: Pizza Fan employees protest following massive tax evasion investigation Around 2,500 Pizza Fan workers face uncertainty after stores closed amid a massive tax evasion probe involving millions of euros in hidden revenue. 20 sources. https://clstr.news/cluster/greece-gsee-demands-wage-payments-for-pizza-fan-workers ### 2026-10-24: Pizza Fan tax fraud investigation reveals massive criminal network A massive tax fraud investigation into the Pizza Fan chain in Greece has led to numerous arrests and the discovery of millions in cash and luxury goods, leaving 2,500 employees facing job uncertainty. 74 sources. https://clstr.news/cluster/pizza-fan-investigation-reveals-massive-vat-evasion-scheme ### 2026-10-23: Greece police dismantle major hospitality tax evasion ring Greek police arrested 23 people in a crackdown on a hospitality tax evasion ring that used illegal software to hide over 150 million euros in taxable income. 4 sources. https://clstr.news/cluster/greece-tax-evasion-methods-bypass-digital-oversight ### 2026-10-22: Pizza Fan investigation targets massive tax evasion scheme Greek police have arrested 23 people linked to a massive tax evasion scheme at Pizza Fan, using fraudulent software to hide millions in sales. The investigation has left 2,500 employees in uncertainty. 80 sources. https://clstr.news/cluster/pizza-fan-founder-arrested-in-25-million-vat-fraud-investigation --- Cite as: Pizza Fan VAT fraud investigation and labor unrest in Greece. CLSTR, https://clstr.news/situations/pizza-fan-vat-fraud-investigation-in-greece