madeira.news
Crime & Justice · Funchal · 15 September 2026

Madeira Court Begins Trial of Alleged Subsidy Fraud Network

Sixteen defendants face charges of aggravated fraud and forgery in a trial targeting a scheme accused of defrauding millions in mobility subsidies.

Madeira Court Begins Trial of Alleged Subsidy Fraud Network

The Madeira District Court has commenced the trial of an alleged network accused of falsifying air travel documents to improperly obtain Social Mobility Allowance reimbursements through CTT.

The 16 defendants face charges including aggravated fraud, document falsification, and computer-related forgery. The Public Prosecutor’s Office alleges the scheme was devised and led by travel agent R. Ferreira, owner of the now-defunct Madeira Flight Travels, costing the State approximately €2.2 million.

The agency allegedly sold tickets at the subsidized rate, then altered documents to claim full reimbursements. Employees and associates reportedly collected these reimbursements using client documents, authenticated by a lawyer who is also a defendant.

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