Updated 5.50pm with arraignment details

Five people have been arrested by the police as part of a €62 million tax fraud investigation, Times of Malta can reveal. 

The group of businesspeople, including a contractor from Żebbuġ along with his staff, were arrested on Tuesday evening and Wednesday morning and taken in for questioning.

Sources said they are involved in a variety of businesses including property, roads and even agriculture. 

They were arrested by the police Financial Crime Investigations Department.

A police statement said that two people are to be arraigned at 7pm on Wednesday before the Magistrate Gabriella Vella on charges relating to money laundering and irregularities in connection with payment of taxes.

It is understood others will be arraigned later in the week. 

Sources close to the investigation told Times of Malta that the Maltese businesspeople are expected to be prosecuted over fraud and tax evasion to the tune of some €62 million.

Some are being investigated over evasion of Value Added Tax.