Greek Prime Minister Kyriakos Mitsotakis. EPA/ORESTIS PANAGIOTOU

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Greek PM office implicated in alleged €290m farm fraud scandal

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New evidence has deepened the crisis engulfing Greek Prime Minister Kyriakos Mitsotakis’ government.

His office has now been directly implicated in a €290 million European Union alleged farm subsidy fraud scandal, one of Europe’s largest in recent years.

A previously undisclosed email sent to the European Public Prosecutor’s Office (EPPO) by Evangelos Simandrakos, former head of Greece’s farm subsidy agency OPEKEPE, alleged that the PM’s office was informed of and approved decisions to withhold payments to 9,309 ineligible taxpayer identification numbers (AFMs) in 2023, 63 per cent of which were from Crete, Mitsotakis’ political stronghold.

The email, addressed to then-deputy minister to the PM, Ioannis Bratakos, appeared to suggest high-level oversight in the alleged mismanagement of subsidies, contradicting claims of ignorance from the Mitsotakis’ office.

According to the documents, the Maximos Mansion – the Greek prime minister’s office – was informed of the exclusions involving the so-called “red” AFMs, those flagged as ineligible by OPEKEPE, and approved the decision to block payments to them, news outlet Ekathimerini alleged in a report.

The scandal involved allegedly fraudulent claims for non-existent farms, fictitious livestock and inflated organic farming applications, depriving legitimate farmers of funds.

Fraudsters were said to have claimed to have banana plantations on Mount Olympus, despite its climate, altitude and soil obviously being incompatible with growing bananas.

According to new reports, prior notifications and tip-offs about upcoming inspections were documented, allowing livestock farmers to obtain the declared animals in time, often through third parties. In other conversations, would-be fraudsters allegedly asked organisation employees to skip, delay, or be “lenient” with checks.

This alleged corruption reportedly occurred with the awareness of two former agriculture ministers in Mitsotakis’ government: Makis Voridis, who served from 2021 to 2023, and his successor, Lefteris Avgenakis, who remained in position until 2024.

Simandrakos reportedly also urged Bratakos to intervene diplomatically with the European Commission to help restore the agency’s public image and credibility, which he said had been damaged by oversight issues and internal conflict.

Ekathimerini said the alleged revelations showed “a corruption-riddled system, with the agency too close to the supposedly monitored farmers, and local party members and government officials too close to both”.

The newspaper alleged there were even recordings of officials blowing up on “incompetent” farmers who could not organise an efficient operation to fool the inspectors.

“Local officials and ministers also interfered on behalf of their constituents, who became very angry when they were actually fined because even inspectors in the know could do nothing for them,” it reported.

In a reaction to alleged corruption uncovered by the European Public Prosecutor’s Office  EPPO, the European Commission has imposed a €400 million fine on Greece for inadequate controls, with further penalties looming.

Greek media reported on June 2 that former agriculture minister Spilios Livanos discussed the issue in 2021, suggesting prior knowledge within the government, despite Mitsotakis’ recent admission of “state inadequacy”.

Five senior officials, including Voridis and deputy foreign minister Tasos Chatzivasileiou, resigned on June 27 2025 after being named in a 3,000-page EPPO file accusing them of pressuring OPEKEPE to approve fraudulent payments.

The file also included testimony from Simandrakos and former OPEKEPE head Grigoris Varras, who claimed they were dismissed for attempting to halt the alleged fraud.

Mitsotakis responded publicly to the scandal by forming a task force to investigate and planned to dissolve OPEKEPE by mid-2026, transferring its functions to the Independent Authority for Public Revenue.

Opposition parties have demanded snap elections, calling the scandal proof of systemic corruption within New Democracy.

Mitsotakis has close connections to EC President Ursula von der Leyen. In 2024, the European Ombudsman blasted her for spending a free summer vacation at Mitsotakis ‘ house in Crete the year before.

Former MEP Sophie in ’t Veld had filed a complaint to the EU Ombudsman after the EC withheld documents on a trip, accusing it of staying silent on serious issues in Greece including migrant pushbacks, a boat tragedy probe, spyware use and attacks on oversight bodies.

The corruption in Greece will be discussed in the upcoming episode of Brussels Interference, our new video programme.