Vodafone is investigating alleged tax fraud at Ono, the Spanish cableco it acquired earlier this year. 

On Saturday, Spanish newspaper El Pais reported that Ono failed to declare value-added taxes on international calling minutes worth €200 million in a bid to boost profits.

Citing unnamed sources, the newspaper said that a team of four employees, three of whom have left their posts, carried out the alleged fraud between 2009 and 2011.

The UK-based operator put out a statement saying it has acted quickly on the reports: “As soon as Vodafone became aware of the issue we instigated a forensic audit to investigate the facts relating to the alleged fraud.”

The operator said the matter remains under investigation, so is unable to comment further. 

Vodafone paid €7.2 million for Ono in March this year as it bids to boost its ailing mobile business in Spain with Ono’s fibre network and 1.9 million customers.

Its most recent financial results, for April to June, showed revenues in Spain declined over 15 percent due to increased competition and growing demand for cheaper SIM-only deals.

Vodafone said it expects to generate €1 billion in extra revenues as a result of the merger.

The Spanish market is set for further upheaval as TeliaSonera sells its Yoigo mobile unit.

Jazztel, which made the first offer for Yoigo in September, is now itself the subject of a takeover bid from Orange.

More News

Iliad enters content game in France, finally launches Italian mobile business Iliad enters content game in France, finally launches Italian mobile business Iliad has acquired football rights in France and launched its opco in Italy as it looks to reboot after a disappointing set of financial results. More detail
Three UK appoints new CCO, CFO Three UK appoints new CCO, CFO The departure of Three UK's Chief Commercial Officer after just 18 months in the job has triggered a shake-up of the mobile operator's top team. More detail
TalkTalk to sell enterprise customer base to Daisy as it registers full-year loss TalkTalk to sell enterprise customer base to Daisy as it registers full-year loss TalkTalk has agreed to sell 80,000 business customers to rival Daisy Group in a £175 million deal. More detail
A1 Telekom Austria Group rebrand reaches Bulgaria A1 Telekom Austria Group rebrand reaches Bulgaria Bulgaria is the third A1 Telekom Austria Group opco to get rebranded as the telco looks to market itself as a provider of "advanced" IT, IoT, cloud and content services. More detail
Orange Business Services puts IoT to use on saving ships’ fuel costs Orange Business Services puts IoT to use on saving ships’ fuel costs Orange Business Services has expanded its work with Dobroflot by developing a customised IoT solution for the Russian fishing company. More detail
    

 

European Communications is now
Mobile Europe and European Communications

  

From June 2018, European Communications magazine 
has merged with its sister title Mobile Europe, into 
Mobile Europe and European Communications.

No more new content is being published on this site - 

for the latest news and features, please go to:
www.mobileeurope.co.uk 

 

@eurocomms