From the Guardian:
Belgian prosecutors highlighted the massive losses faced by EU governments from VAT fraud today after they charged three Britons and a Dutchman with money-laundering following an investigation into a multimillion-pound scam involving carbon emissions permits.
The three Britons, who were arrested last month in Belgium, were accused of failing to pay VAT worth €3m (£2.7m) on a series of carbon credit transactions.
European authorities believe the EU has lost at least €5bn to carbon-trading VAT fraud in the last 18 months. Europol, the EU’s law-enforcement operation, fears the fraud will be used in other areas, especially gas and electricity trading markets, after criminals found VAT fraud was one of the most lucrative financial frauds.
“Last month, the European police agency Europol reported that the European Union’s Emissions Trading Scheme (EU ETS) had fallen victim to fraudulent trading activities over the past 18 months, worth €5 billion for several national tax revenues.
It estimates that in some countries, up to 90% of the whole market volume was caused by fraudulent activities.”
Four charged with carbon trading fraud in Belgium
http://www.risk.net/energy-risk/news/1585509/four-charged-carbon-trading-fraud-belgium
Meanwhile here in the USA, carbon is trading for 10 cents a ton on the Chicago Carbon Exchange:
h/t to WUWT reader “Michael”
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Given that fact that the EU cannot even run itself, its own accounts not being signed off for the last 14 years, this hardly surprises. It would seem a truism that the bigger the bureaucracy the greater the potential gain for those with the nous to understand how to bend the rules. There is little doubt that widespread criminality is part and parcel of the EU’s activities, the primary beneficiaries of this are those who work for it. Needless to say this activity gains little publicity.
Jacob Livingston (01:34:50) : It’s still a good idea but you guys just look for all of the negatives in every story 🙁
I enjoyed the subtle humour in your line, Jacob. Nice!
Black light feather says: “White men to approve cap&trade, then they will go up to inhabit the land of spirits and leave land for us to live”
tallbloke (06:48:01) :
““Meanwhile here in the USA, carbon is trading for 10 cents a ton on the Chicago Carbon Exchange:”
Excellent. I’ve just ordered 10,000 tons for early delivery to the Whitehouse doorstep. It’s a gift to the President. I hope he doesn’t get his fingers dirty moving it.”
Reminds me of the Canadian that delivered a dump truck load of Bull Poo to the Canadian Parliament….HMMmm not a bad idea….
Now there’s another scam:
http://euobserver.com/9/29403
http://www.dw-world.de/dw/article/0,,5206339,00.html
More general problem is the complexity of this market in hot air – paradise for fraudsters
http://www.carbontradewatch.org/carbon-trade-fails