Italian authorities seize €121 million from Amazon for alleged tax fraud and worker exploitation. . Italian financial police haveItalian authorities seize €121 million from Amazon for alleged tax fraud and worker exploitation. . Italian financial police haveseized €121 million from a Milan-based Amazon branch after the e-commerce giant was accused of alleged tax fraud and worker exploitation.
They are investigating the alleged use of so-called labour reservoirs — a system where large companies illegally subcontract logistics services to other firms and cooperatives to cut labour costs and pay less in taxes, according to the state-run ANSA news agency.
The order that came with the seizure stated that the tax fraud would stem from using an “illicit mechanism of invoices” for non-existent transactions as stipulated under various fake contracts for the supply of labour, which led to the issue and subsequent use of false documents.
