Four people have been arrested in Ibiza as part of a major international operation targeting an alleged drug trafficking and money laundering organisation that investigators say channelled proceeds from cocaine trafficking into luxury property developments in Ibiza, Marbella and Madrid.

The joint operation was carried out by Spain's National Police and Guardia Civil and coordinated by Europol. A total of 27 people were arrested on Friday, 2 October, across Spain and the Dominican Republic, including four in Ibiza. The suspects are being investigated for alleged membership of a criminal organisation, drug trafficking and money laundering.

Eight Searches Carried Out in Ibiza

Ibiza was the second area with the largest number of searches during the operation, behind Madrid.

Eight of the 38 simultaneous searches carried out in Spain and the Dominican Republic took place in Ibiza. Officers from the Portuguese Polícia Judiciária also participated in the wider operation.

The arrests in Spain were distributed across Madrid, Ibiza, Almería, Málaga, León and Pontevedra, with one additional arrest made in the Dominican Republic. Fourteen arrests were made in Madrid and four in Ibiza.

Luxury Property Used to Channel Drug Proceeds

According to investigators, the organisation developed a business structure designed to move proceeds from drug trafficking into the property market.

Authorities say the suspects used companies involved in property development to invest in developments, entire residential complexes and luxury homes, particularly in Ibiza, Marbella and Madrid.

Investigators say the structures were used to conceal the real ownership of properties and introduce money allegedly originating from drug trafficking into the legitimate economy.

The investigation found that the organisation was not only allegedly laundering proceeds from its own drug trafficking activities. Investigators say it eventually offered money laundering services to other drug trafficking organisations, a model described by authorities as “crime as a service”.

More Than 1,500 Kilos of Cocaine Linked to the Investigation

The investigation began in September 2023 after encrypted messaging platforms were analysed and investigators identified a network involved in sending drugs to Europe.

According to the Guardia Civil and Ministry of the Interior, the investigation led to the identification of alleged responsibility for four cocaine seizures in Panama involving more than 1,500 kilograms of cocaine in total.

Investigators say that between 2020 and 2021, the organisation established routes for importing cocaine from Colombia and Panama into Europe through maritime containers.

Authorities say the organisation used methods known as “gancho ciego”, “rip off” or “preñado”, techniques involving concealed drugs being introduced into legitimate cargo shipments.

Property Assets Blocked

The operation has also resulted in extensive measures against assets allegedly connected to those under investigation.

Authorities say a prohibition on the sale of 70 properties and 16 luxury villas was ordered. Separately, 95 properties in total were blocked as assets linked to the investigated individuals, together with 200 movable assets.

The distinction is important because the figures refer to different measures described by the authorities. The 95-property figure should not simply be added to the 70 properties and 16 villas as though they were three separate groups of assets.

Investigators also seized 40 high-end vehicles and two boats.

Cash, Cryptocurrency and Weapons Seized

The operation also resulted in the seizure or blocking of substantial financial assets.

Authorities report that more than 1.3 million USDT in cryptocurrency was blocked, along with 26 bank accounts, three of them held in Luxembourg, and more than 100 legal entities were investigated.

Cash seized included:

• €271,521

• 76,425 UAE dirhams

• US$1,175

Six firearms were also seized, including one classified by authorities as a weapon of war. Investigators additionally reported a silencer, prohibited weapons and more than 800 rounds of ammunition.

One Suspected Key Figure Arrested in the Dominican Republic

International cooperation also led investigators to one of the organisation's alleged principal figures, who was arrested at a luxury villa in the Dominican Republic.

Spanish National Police and Guardia Civil representatives travelled to the country and worked with the Dominican Republic's Dirección Nacional de Control de Drogas during the operation.

Two of those arrested have been classified as High Value Targets by Europol.

Investigation Remains Open

The operation is being investigated under the direction of Judicial Division 5 of the Investigative Section of Spain's Central Court of Instance and the Special Anti-Drug Prosecutor's Office.

Five international arrest warrants have been processed and authorities say the investigation remains open. Further actions and arrests have not been ruled out.

The arrests and asset measures announced on 2 October form part of an ongoing investigation. The people arrested are being treated as suspects in relation to the alleged offences and have not been convicted by a court.