An investigation into an alleged criminal organisation accused of withholding €25 million in VAT through the Pizza Fan restaurant chain began with a complaint about underpaid social security contributions, according to information obtained by protothema.gr.

Several months ago, a whistleblower approached Greece’s Financial Prosecutor’s Office, alleging that both franchise outlets and company-owned Pizza Fan restaurants were systematically declaring fewer working hours for their employees than they had actually worked, thereby reducing their social security contributions.

The complaint prompted an investigation that eventually expanded to examine the suspected use of specialised software to conceal sales and avoid paying VAT.

What investigators uncovered was an elaborate system allegedly designed to manipulate transactions, suppress receipts and conceal a substantial proportion of the chain’s actual turnover.

A ‘golden’ algorithm

According to evidence gathered by police, Pizza Fan’s ordering system, which handled both telephone and online orders, incorporated a special algorithm allowing certain transactions to be completed without issuing legally required receipts.

Investigators found that the proportion of transactions for which receipts were not issued reached almost 20%, while the system was allegedly overseen by the company’s accounting department in Chalandri, a suburb of Athens.

The mechanism operated through Pizza Fan’s central ordering platform, which forwarded customer orders to individual restaurants.

When an order was completed at the till, staff would normally see three payment options: “Cash”, “Card” and “Cancel”. However, in selected cases, a fourth option appeared, labelled “Treat – Receipt”.

This additional option was activated by the algorithm only when three specific conditions were met: the order was worth no more than €40, payment was to be made in cash, and the food was being delivered or collected as a takeaway.

Although customers paid for their orders, the relevant receipts were not issued.

The transactions were nevertheless recorded in the company’s central system, allegedly allowing members of the organisation to monitor actual turnover and distribute the proceeds of the suspected fraud.

So far, 22 people have been arrested in connection with the case, while a total of 126 individuals are named as defendants in the case file.

The secret hiding place containing more than €1 million

The investigation also led officers to a concealed room inside the villa of Pizza Fan owner Konstantinos Antaras in Ekali, an affluent northern suburb of Athens.

As previously reported by protothema.gr, police discovered more than €1 million in cash, along with jewellery of considerable value, during a search of the property.

The secret room was hidden behind a walk-in wardrobe containing shirts, trousers and dozens of pairs of shoes.

A section of the shoe storage unit had been converted into a concealed entrance leading to a small room.

Inside, officers discovered a large chest containing travel bags stuffed with banknotes.

The bags had been placed inside paper shopping bags, each bearing a handwritten indication of the exact amount of cash it contained.

The discovery has added a further dimension to the investigation into the alleged multimillion-euro tax fraud, as authorities continue examining the organisation’s financial operations and the roles of those implicated in the case.