TWO men are under arrest today after Ipswich based-customs investigators swooped to foil an alleged European-wide £580m tax sting.The Suffolk officers co-ordinated an operation, codenamed Domino, which also included the Metropolitan police extradition team and officers across the continent.

TWO men are under arrest today after Ipswich based-customs investigators swooped to foil an alleged European-wide £580m tax sting.

The Suffolk officers co-ordinated an operation, codenamed Domino, which also included the Metropolitan police extradition team and officers across the continent.

The arrests are in relation to a VAT missing trader fraud that is believed to have netted almost £600m from tax authorities across Europe.

Colleagues from the Steurfahndung – the money laundering and organised crime team in Nuremburg, Germany – travelled to England to assist the Suffolk officers in the raid.

As well as the Steurfahndung and German police, 60 officers in Holland, Spain and Norway also took part in the swoops, resulting in a further four arrests in Germany. Altogether more than 200 officers were involved in yesterday's activity.

The operation was triggered yesterday morning with the arrest of a 45-year-old German national at an address in Rochdale, Lancashire.

He is currently subject to extradition proceedings on behalf of the German authorities over alleged tax offences in Germany.

A 42-year-old British national was also arrested and is being interviewed in relation to charges of money laundering and cheating the public revenue.

Jim Jarvie, Suffolk-based customs assistant chief investigation officer, said: "This type of serious fiscal crime is highly organised and crosses national boundaries, demanding a high degree of international co-operation between the authorities. This particular criminal network was first picked up by the Steuerfahndung, the German money laundering and organised crime department, with whom we have worked particularly closely."