Catalan Tobacco Wholesaler on Trial in Andorra for €950,000 Smuggling and Money Laundering

A 66-year-old Catalan tobacco wholesaler, detained at La Comella prison since February 2024, faced a two-day trial at Andorra's Tribunal de Corts this week on charges of major smuggling, criminal association, and money laundering linked to a €950,000 black market operation mainly targeting Pas de la Casa in 2024.

The hearing concluded Tuesday with closing arguments from both sides, leaving the case awaiting a verdict. Prosecutors stood firm on seeking a six-year prison sentence and fines adjusted to €1.4 million, arguing the defendant played a key role in a coordinated scheme. They highlighted 41 orders over 10 months to a 20-square-meter shop, late-evening pickups after 7:30 p.m. when staff had left, weekly cash payments up to €10,000 due to the shopkeeper's banking issues, and invoicing discrepancies suggesting most tobacco bypassed legal channels. Police investigators testified that surveillance pinpointed diversions at a Canillo wastewater plant, with one estimating 95% of supplies entered illicit circuits toward France. Given the defendant's 30 years in the sector, prosecutors insisted he knew a small outlet could not absorb such volumes legitimately. They tied fragmented payments to laundering, noting his 2% annual bonus on company turnover provided indirect gain.

The defendant, sole administrator and commercial director of his firm with €100,000 annual salary and nearing retirement after 40 years, denied any knowledge of wrongdoing. He described managing legal sales and clients, viewing the 43-year-old Portuguese shopkeeper as a trusted buyer in financial difficulty who paid promptly in cash installments. He authorized a 38-year-old Spanish transporter—proposed by the shopkeeper for security—to collect up to 100 cases late at night, sometimes handling deliveries himself, which factory workers called unusual as standard practice involved company drivers.

The shopkeeper and transporter, who accepted plea deals, served sentences, and testified as witnesses, both exonerated the defendant. The shopkeeper admitted sole responsibility for the smuggling, using the transporter for pickups without revealing the tobacco's illicit path, and disguising proceeds as shop revenue. "If I had told him the truth, he never would have sold me the tobacco," he said, stressing no direct benefit or awareness of funds' origins reached the defendant. The transporter's evasive, contradictory testimony—nearly retracting prior admissions—sparked a heated clash with the prosecutor. He insisted the defendant had "no idea" of the end use, signed his plea under pressure for a reduced sentence and release date, and possessed transport documents to build supplier trust.

Factory workers confirmed the shopkeeper's history of cash payments amid economic struggles, praised the defendant's professionalism, and noted his 20kg weight loss during 14 months in custody. They described post-arrest changes, like banning cash and requiring bank transfers. Two other smugglers testified to no links with the defendant or his firm, dealing only with the transporter; one knew him professionally but denied supplying his company's tobacco.

A 2025 expert report outlined company cash flows and tax settlements, which prosecutors called laundering evidence. The defence sought acquittal, citing detention flaws, investigative lapses allowing the scheme to reach €950,000, and rights violations. They portrayed operations as routine commercial activity—representing just 1.8% of firm turnover—with no proof of criminal coordination, suspicious accounts, or contacts beyond business. Counsel demanded provisional release pending sentencing, framing any issues as administrative errors, not crimes. Prosecutors rejected the motion, citing prior probe evidence for arrests initiated in April 2024 from prostitution-related leads that uncovered five detentions.