Spain’s National Office for Fraud Investigation, ONIF, which operates under the Tax Agency, has joined forces with the country’s competition authorities to probe a suspected nationwide scheme that manipulates the sale of fuel. The investigation, disclosed recently by Cadena SER, is said to carry an annual impact near 1.9 billion euros and would also have consequences for the Valencian Community. While the precise reach of the alleged diesel mafia remains unknown, industry sources cited by this newspaper confirm that inquiries are already underway at several gas stations in the Valencian region. The case sheds light on how fraudulent supply chains and mislabeling can undermine public finances and consumer trust, prompting calls for tighter supervision and stronger sanctions.
Unusual Situations
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To date, industry insiders have noted some unusual patterns in the market, but officials have withheld detailed comments while the review continues, a process that could take more than a year. Cadena SER reported yesterday that Hacienda has sent up to 400 information requests to service stations across the country, asking for precise records of their VAT payments. How the operation began and spread is under debate, but analysts say it points to a network of actors exploiting opaque routes, masking origins, and distorting price signals. The investigation is widening to determine whether these anomalies are isolated or part of a broader network with implications for the entire diesel supply chain.
Specifically, the focus is on diesel that has already been refined but is imported through routes that mask its true origin. The pattern suggests fuel that appears to have been loaded, discharged, and refined in places like Turkey or Morocco, while the true sources include countries such as Syria, Russia, and Iran. The fraud is sustained by so-called ghost operators who sell this fuel to gas stations and disappear within three months. The price is strikingly low, sometimes 40 to 60 euro cents cheaper per liter than legitimate diesel, a gap that tempts outlets to stock up without full visibility on where the fuel comes from or whether it complies with taxes and quality standards.
Consequences for Sellers and Consumers
As a result, gas stations buying fraudulent diesel can offer prices lower than those buying from traditional suppliers. This pressure has pushed some traditional outlets to close or convert into independent operators. The market is being reconfigured, with a handful of opportunistic buyers gaining share while compliant, smaller stations struggle to compete. For consumers, the impact is largely price-related: a typical fill of 50 liters could be 10 to 20 euros cheaper at discount stations. In most cases the end user is not directly implicated in the wrongdoing, but the owners and operators of stations may face penalties if irregularities are confirmed. The investigation may also influence VAT enforcement and how fuel supplies are tracked and taxed across the sector.
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