Cigarette smuggling... counterfeiting of euro coins... evasion of import duties on shoes and clothes... subsidies for growing oranges on farms that don't exist — all are examples of fraud that cost European taxpayers money.
The main EU body for combating these activities is the European Anti-Fraud Office (OLAF).
Report suspected fraud to OLAF
What does OLAF do?
- investigate fraud, corruption and other illegal activities
- detect and investigate serious misconduct by EU staff
- help the European Commission formulate & implement policies to prevent and detect fraud.
(source : http://europa.eu/pol/fraud/index_en.htm)