Arrests in Guernsey as part of £21m money laundering investigation

The investigation spans the British Isles.

Two staff members have been arrested in St Peter Port, in connection with an investigation into a suspected £21m VAT and money laundering fraud.

They were arrested at an address registered to several companies, and will be interviewed today.

It's part of an investigation called Operation Bannock, that spans the British Isles, and has involved officers from local Law Enforcement, HM Revenue and Customs, Cheshire Constabulary, the National Crime Agency and the Isle of Man.

At the same time 12 other premises were searched, in Cheshire, London, Manchester, and the Isle of Man, and five other people were arrested.

A spokesman for Guernsey's Financial Investigations Unit says details of the companies and connected individuals will not be released at this time, because the investigation is ongoing.