Greece debuts asset freeze for tax evasion

(ATHENS) - Greece's Financial Crimes Squad (SDOE) said on Thursday it had frozen the assets of 121 individuals and companies involved in tax evasion amid efforts by the government to stem endemic revenue loss.

"It is the first time this measure is taken" to combat the chronic problem of tax cheating since the auditors of Greece's EU-IMF creditors called on the country to step up its efforts, a source from the finance ministry told AFP.

For the moment, the value of the assets is estimated to be "more than 50 million euros" ($63 million) said the source, underlining that this applies to "only part of the bank accounts that have been looked into so far."

"Tolerance towards those who cheat with their taxes, no matter how high up they are, is over," said Finance Minister Yannis Stounaras in a press release published by the ministry.

SDOE's recent investigations revealed cases of extensive tax evasion, stemming from bogus receipts or the failure to report VAT takings.

According to the ministry's press release, SDOE also seized luxurious properties and shares listed on the Athens and New York stock exchanges as assets tied to tax evasion.

The move comes ahead of the announcement of a new round of harsh austerity measures likely to include further salary and pension cuts necessary to unlock the next instalment of Greece's rescue loans.

Under increasing pressure from its creditors, Greece has adopted numerous measures to combat tax evasion since 2010./rl