Times Online October 26, 2006

Euro pact to fight £5bn carousel fraud
By Michael Herman and agencies

The six biggest EU states have pledged to join forces in the fight against the growing problem of so-called carousel fraud, a multi-billion pound tax scam the Government believes is linked to terrorism.


John Reid, the Home Secretary, said that the agreement was a major step towards a common European response to the fraud that is estimated to cost EU states as much as £55 billion in lost taxes each year. It is the first time the problem has been discussed at such a high level between EU members.

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One of my part-time students sent me this link (she is working in the area). Even if the estimates are inflated, it is still an increadible amount of money to be filtered into terrorist coffers.

Marc