€1.1m hidden behind wall as Greek pizza empire rocked by €25m scandal

A €25 million tax fraud scandal has rocked Greece's largest pizza chain, Pizza Fan. According to prosecutors, investigators uncovered a secret room behind a wall at the owner's mansion in Ekali, northern Athens, containing €1.1 million in cash and valuables. A total of 22 people, including the owner, senior executives, accountants, a software developer, and franchise managers, were arrested in connection with the investigation.

The chain, with over 100 outlets across Greece, is accused of avoiding millions in VAT through an alleged system manipulating its ordering software. Customers' cash purchases were allegedly recorded as free food or treats, allowing the transactions to avoid VAT reporting. The investigation began after an anonymous complaint in April, initially focusing on employees working fewer hours than reported.

Police are probing allegations of franchise operators being pressured to use the system, with some facing threats of losing their rights if they refused. The financial impact of the case is significant, with the investigation involving turnovers exceeding €200 million. Pizza Fan's nationwide outlets have reportedly closed amid the ongoing legal proceedings.