Business · Athens

Pizza Fan stores stall as 23 arrested face investigating judge over 35 million euro tax case

Authorities seized the chain's central order system, leaving about 110 stores unable to operate, while around 2,500 workers keep contracts that the company cannot use.

AI text based on reports by NEWS 24/7, Η Ναυτεμπορική and iefimerida.gr. Published . How it is made

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In brief

Athens · Greece
How it came to this
  1. 26 OctFirst 10 defendants taken to court, shortly before 10:00
  2. 27 OctRemaining 23 defendants expected to testify, according to iefimerida

Arrests and court appearances

According to Naftemporiki, 23 people have been arrested in the Pizza Fan case, and they are due to testify before an investigating judge. Iefimerida reports that the first 10 were taken to the former Evelpidon school courthouse in Athens shortly before 10:00 on Monday, 26 October, and that the remaining 23 defendants would follow the same procedure on Tuesday, 27 October. The two outlets differ on the count, so the total number of suspects is not settled in the reporting. Prosecutors are examining what the case file describes as a criminal organisation that allegedly hid revenue over roughly a decade. The charges, according to the charge sheet, cover forming, joining and leading a criminal organisation, tax evasion above 150,000 euros through unpaid VAT and inaccurate income declarations, direct complicity in individual acts, and aggravated laundering of proceeds from criminal activity.

Fake treats and a cash balance

Naftemporiki reports that paid orders were allegedly logged as free 'treats', which concealed real cash receipts. One customer returned to a store asking for a receipt, prompting a search for a way to handle the transaction. In a recorded conversation cited by the outlet, the businessman described as the owner asks an accountant whether the treats have increased, and the accountant refers to a rise of 15% to 20% across different months. The same extracts mention an instruction that internal communication should be conducted only verbally. A separate conversation concerns a cash balance of about 400,000 euros, which the accountant reportedly said does not correspond to funds actually on hand. When asked how it arose, he linked it to undeclared payments to employees at stores.

Central order system seized

Authorities seized the chain's central electronic system for receiving and transmitting orders as part of the tax evasion investigation. No administrative body has suspended operations, but without this equipment, filling orders is extremely difficult, if not impossible. The estimated damage to the state now reaches 35 million euros, a figure the investigation has yet to finalise. About 110 stores across the country remain out of operation. Company executives are reportedly working to restore the call centre and order software so that stores can gradually reopen.

Workers left in limbo

About 2,500 employees face deep uncertainty. Their contracts remain in force, yet the company cannot use their work, which complicates both wage payments and their labour and insurance rights. Their lawyer, Alexandros Papastergiopoulos, told ERTnews on Monday morning that employees keep turning up to offer their services, but the employer cannot accept them. He warned that cancelling contracts or resigning voluntarily could put severance and other entitlements at risk, and that workers should not lose them because of a situation they did not cause. He also raised the question of state support for the workers.

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