Danish police arrest three men over money laundering and tax fraud

Danish police have arrested three men in an investigation into serious money laundering, tax evasion and debtor fraud involving the bankrupt LS Busser company and other firms, DR reports.

The arrests were made on Tuesday after a lengthy investigation by Funen Police. The suspects are two men aged 24 and 35 from Odense and a 64-year-old man from Aarhus Municipality.

Another 35-year-old man was remanded in custody on 11 September to prevent him from influencing other suspects. Following Tuesday’s arrests, police and prosecutors assessed that he could no longer affect the investigation, and he was released.

Police believe the men had different roles, but have not disclosed further details. The suspected offences are believed to have taken place partly within LS Busser and partly within affiliated or subsidiary companies.

“It is the police’s assessment that the same people are behind everything,” police inspector Michael Lichtenstein of Funen Police said in a statement. He described the alleged scheme as a complex system designed, among other things, to avoid paying the required taxes.

The 35-year-old previously remanded in custody and the 24-year-old are charged with fraud involving electric vehicle charging subscriptions. Police allege that they created 573 private subscriptions, which were used to charge vehicles belonging to the companies.

More than 1.5 million kroner worth of electricity was consumed without payment, according to police.

The investigation has focused on company owners, managers and employees. One person was not directly employed by the companies but acted as a kind of adviser to the others, according to Lichtenstein. The suspects are not related.

The three men arrested on Tuesday will not currently be remanded in custody. Police and prosecutors say there is no need or legal basis to do so, citing evidence gathered during the investigation and searches carried out on Tuesday.

Police have recently seized around 20 million kroner in cash or funds held in accounts belonging to various companies. The seizures took place before LS Busser was declared bankrupt and stopped operating as a provider of Flextrafik services.

The money laundering allegations concern a sum in the millions. Police are also interested in a fifth man who is abroad, although his alleged role has not been disclosed. Further charges against additional people are possible as the investigation continues.