OLAF uncovers huge butter fraud

The EU’s new anti-fraud office OLAF has uncovered a huge scheme by the Italian mafia, to sell fake butter and scam subsidies from the EU budget.

The EU's new anti-fraud office OLAF has uncovered a huge scheme by the Italian mafia, to sell fake butter and scam subsidies from the EU budget. Thousands of tonnes of so-called butter, which contained no traces of milk or dairy products, were sold via this fraudulous system. Several companies in Italy, France and Belgium were involved in the mafia ring.

The EU subsidises butter through export-refunds paid for butter sold outside the EU and through aid for the processing of butter sold inside the EU for baking products.

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