A major international money laundering network has been dismantled following a joint investigation by Luxembourg and German authorities, resulting in the seizure of over €12 million and the arrest of a key suspect.

Luxembourg and German authorities have dismantled an international money laundering network, resulting in the seizure of over €12 million in various currencies and the arrest of a primary suspect, officials revealed on Wednesday.

The investigation, initiated by Luxembourg in 2021, targeted financial flows suspected of being linked to embezzlement and money laundering. The Financial Intelligence Unit (CRF) first identified and analysed the unusual transactions, prompting the Public Prosecutor's Office to open a formal criminal case.

Following this, the anti-money laundering section of the Criminal Police conducted searches at several Luxembourg-based companies, gathered evidence, and questioned key suspects. The probe revealed that the network primarily operated through payment service providers in Germany, leading to a collaboration with the German Public Prosecutor's Office and the eventual merger of the two national investigations.

To date, Luxembourg authorities have seized assets totalling over €8.3 million, $3.5 million, and £83,000. One of the main suspects was arrested on a European Arrest Warrant and presented before a Luxembourg examining magistrate on Wednesday morning. The authorities have emphasised that the presumption of innocence still applies.

The case is being hailed as a prime example of effective cross-border judicial cooperation. The rapid exchange of financial intelligence and evidence was credited with not only tracing and freezing illicit assets but also directly advancing criminal proceedings in Germany.

According to Eurojust, such operations underscore the critical importance of international coordination among judicial and police bodies in combating sophisticated financial crime. The successful operation confirms Luxembourg's active role as a key partner in Europe-wide efforts to tackle fraud and money laundering.