Pizza Fan cites free promotions amid €35 million tax fraud probe

Greek pizza delivery chain Pizza Fan has said its promotional campaigns offering free products may have caused confusion over turnover calculations, as the company faces an investigation into an alleged tax fraud scheme involving an estimated €35 million in unpaid value-added tax over a decade.

According to Kathimerini, in a statement, the company said it was prepared to cooperate with the competent authorities and was seeking to safeguard jobs across its network of approximately 100 branches.

“Our company has always carried out many promotional activities to provide free products to the consumer public. As a result, confusion may have arisen in the calculation of the turnover of the company and its stores,” Pizza Fan said.

The company added that its immediate priority was to protect its franchisees and more than 2,500 employees while coordinating with the authorities to address the situation.

Company highlights employment contribution

Pizza Fan said it pays more than €36 million annually in salaries and contributes over €9 million to social security for its employees.

The company stressed that reopening and maintaining its branch network was a priority, citing the potential impact of the investigation on workers and franchise operators.

Its statement comes as prosecutors pursue a case involving alleged tax fraud and approximately €35 million in unpaid VAT over a 10-year period.

125 people expected to face prosecution

A total of 125 people are expected to face prosecution over their alleged involvement in the tax scheme, according to reports.

Twenty-two suspects were charged on Friday, while the broader investigation continues.

The allegations have not been established in court. Pizza Fan has said it intends to cooperate with the authorities as the case proceeds.