Police in Italy arrested 12 suspects and seized assets worth over €9.6m following an investigation into 67 individuals and 27 companies suspected of fraudulently obtaining CAP funds this week.

According to the investigation, between 2018 and 2022, the criminal association unlawfully secured over €12.5m by falsely presenting one of its companies, based in Salerno, as a so-called producer organisation (PO), which is a recognised group of farmers, entitled to receive EU funding that supports collective investments for their members’ benefit.

“Evidence suggests that the suspects falsified several documents to fraudulently misrepresent the company’s compliance with the essential requirements of POs status under EU law.

“This company, allegedly deceived the Campania Region, Italy’s Agricultural Payments Agency (AGEA) and the EU, by unduly receiving EU agricultural subsidies financed under the Common Agricultural Policy (CAP),” the European Public Prosecutor’s Office said.

House arrest

The perpetrators of these offences are under investigation for alleged aggravated fraud to obtain public funds and criminal association.

The Italian financial police placed 12 individuals under house arrest and has seized financial assets belonging to them and to the involved companies totalling €9.6m.

The prosecutor’s officer said that all persons concerned are presumed to be innocent until proven guilty in the competent Italian courts of law.

The European Public Prosecutor’s Office (EPPO) is the independent public prosecution office of the European Union.