An international law enforcement investigation into a sophisticated financial network suspected of financing drug trafficking and laundering criminal proceeds has led to the arrest of 21 suspects and the identification, seizure or freezing of assets worth approximately ₹219.5 crore.
The investigation, led by the Spanish National Police and supported by Europol, targeted individuals suspected of providing underground banking services to organised criminal groups operating internationally. Those arrested face allegations including participation in a criminal organisation, drug trafficking and money laundering.
21 Arrested Across Multiple Countries
An operation carried out in Spain on July 22, 2026, resulted in the arrest of 15 suspects. Spanish authorities also issued 19 international arrest warrants for suspects believed to be outside the country.
Six of those warrants have since been executed. Four suspects were arrested in the United Arab Emirates, one in Egypt and another in the Netherlands.
Among those arrested was a leading figure linked to a major underground banking network referred to as the “Dubai Bank”. Europol identified the suspect as a High Value Target believed to have played a key role in providing financial services for major drug trafficking operations worldwide.
Authorities identified, seized or froze assets worth approximately ₹219.5 crore. These included 48 properties valued at more than ₹153.7 crore, high-end vehicles worth over ₹17.6 crore and 121 bank accounts containing approximately ₹25.2 crore.
The investigation grew from a major cocaine seizure by Spanish police in February 2021. Officers boarded a vessel off the Spanish coast and discovered 1,835 kilograms of cocaine. All nine crew members were arrested.
After the crew and drugs were removed, the vessel was taken to the port of Gijón, Spain, where it later sank after taking on water through a leak allegedly caused by its captain.
Investigators subsequently discovered that another 1,650 kilograms of cocaine had allegedly been concealed aboard the vessel. Members of the criminal network were suspected of later entering the sunken ship and recovering the hidden shipment.
Investigators established that both cocaine consignments had been loaded in South America in January 2021. The alleged plan was to transfer the drugs at sea to high-speed boats that would bring the cocaine ashore in Spain.
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Financial Trail Led to ‘Dubai Bank’
As investigators examined those behind the cocaine shipment, they established links to other suspected drug trafficking operations around the world. Following the financial trail eventually exposed individuals suspected of financing shipments and laundering criminal proceeds.
The investigation ultimately led authorities to a sophisticated international financial infrastructure allegedly providing underground banking services to organised crime.
At the centre of the investigation was a clandestine money-transfer network described as the “Dubai Bank”. The network is suspected of making large amounts of money available to criminal organisations in different countries within short periods, providing the financial infrastructure needed to fund major drug shipments and move criminal proceeds.
Rather than physically transferring money across borders for every transaction, underground banking networks can move value between jurisdictions through brokers. Payments can be settled through internal accounting and compensation mechanisms involving trade transactions, companies and their bank accounts, cash pooling or transfers of other assets.
According to the investigation, the network operated on a commission basis, with fees varying depending on the transaction and other factors.
Investigators also identified the alleged use of tokens to authenticate cash transactions. A unique identifier, frequently the serial number of a banknote, could be passed through the transfer chain. The matching identifier could then be presented when collecting cash to verify that the money was being handed to the intended recipient.
The financial investigation also identified assets suspected of having been acquired with illicit funds, including a luxury property in Ibiza.
Europol Supports International Investigation
Europol supported the investigation by facilitating international information exchange and providing operational and financial analysis that helped identify key money brokers within the suspected network.
Since October 2024, the investigation has also been supported through an Operational Taskforce established at Europol.
Europol provided specialised expertise on underground banking as well as asset tracing and recovery. Specialists were deployed to Spain for the operation, where a money laundering expert supported investigators on the ground through a mobile office.
Given the international reach of the alleged network, cooperation between authorities in several countries formed a central part of the investigation. Authorities from the Netherlands, Sweden and the United States, including the US Drug Enforcement Administration, contributed to the probe.
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