Last Updated on 08/09/2024 by Arun jain
A gang of European Union Diplomats have been found to be running a scam smuggling cigars and alcohol from an office in South-East Asia.
Olaf, Block’s anti-fraud watchdogSaid anonymous ambassadors were buying tax-free goods before delivering them to people without the same diplomatic privileges.
“The investigation revealed that these staff members were actively involved in schemes to evade VAT and excise duties on imports,” the watchdog’s annual report for 2023 said.
“Alcohol and cigars were ordered using the name of the EU delegation and then delivered to several individuals outside the delegation.
“This practice violates the rules and procedures applicable to the ordering of diplomatic goods and confers undue benefits on individuals who are not eligible for diplomatic privileges.”
The order is placed in another name
Those involved in the scam often ordered alcohol with the permission of the host country where they were stationed.
He used the names of delegation colleagues, and even a retired member of staff, to issue orders, to avoid attracting suspicion.
Diplomats are granted special duty-free-style tax exemption on items such as whiskey and cigars for personal use while stationed in foreign countries.
Many embassies and consulates have their own duty-free shops, where diplomats can buy alcohol, tobacco and other goods without paying local taxes.
They are also allowed to import certain quantities of liquor and cigarettes for personal use without paying customs duty.
Rules, approved under Vienna Convention on Diplomatic RelationsThis is to ensure that diplomats can maintain the same standard of living in their own country.
EU corruption ‘will continue’
Frank Furedi – executive director of MCC Brussels, a think tank – said: “Despite constant calls To root out EU corruptionThere is no appetite on the part of this organization to deal with it EU operatives abuse their diplomatic privileges.
“As long as these privileges are regarded as advantages, the smuggling of liquor and fag will continue.”
The delegation’s investigation in Asia also uncovered a staff member who had been working another job without permission for 13 years.
The diplomat remained “intensely engaged in teaching activities during working hours”, publishing several academic publications and sitting on editorial boards, which Olaf said interfered with his day job.
“The individual abused his position in the EU delegation, [their] Email address and delegation network/services for functions ancillary to these unauthorized external activities,” the report said.
Another member of staff was found to be “engaged in the same unauthorized external activity as a manager of a private company”.
Disciplinary proceedings
Olaf said disciplinary proceedings should be opened against staff involved in the scandal, which the watchdog said had “damaged the image and reputation of EU institutions”.
Last year, the watchdog completed 16 investigations into the European Commission, 14 into the European Parliament and 13 into the External Action Service, the EU’s foreign affairs arm.
“While these cases become relatively minor [part] Among Olaf’s overall workload, he is critical to maintaining the EU’s reputation,” the watchdog said.
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