Agenzia ANSA By ANSA English
E-commerce giant also accused of tax fraud
Finance police on Tuesday carried out the preventive seizure of around 121 millions euros from the Italian branch of Amazon in relation to probe by Milan prosecutors into alleged tax fraud and worker exploitation.
The case regards the allegedly use of so-called ‘labour reservoirs’, a system under which large companies illegally subcontract out logistics services to other firms and cooperatives in order to get labour at rock-bottom rates and pay less tax.
Milan prosecutors have opened more than a dozen similar investigations into companies including DHL, GLS, Uber, Lidl, BRT, Geodis, Esselunga, Securitalia, UPS, GS of the Carrefour group and GXO, the latter of which had 84 million euros seized from it on July 2.
The seizure order alleged that several of the cooperatives used by Amazon “systematically failed to pay VAT and pension and social-security contributions”.
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