Athens, Oct 23 : The Greek police have arrested 37 people in a nationwide operation targeting a criminal network accused of defrauding the European Union's (EU) agricultural subsidy system, authorities said.

According to the Hellenic Police on Wednesday, the operation was carried out by the Organised Crime Division in Thessaloniki, Pella, Ioannina, Attica, and Crete.

The suspects allegedly obtained EU farm subsidies through false declarations submitted to OPEKEPE, a public agency responsible for managing and disbursing agricultural aid schemes funded by the EU's Common Agricultural Policy, Xinhua news agency reported.

According to the European Public Prosecutor's Office (EPPO), in the course of the preliminary investigation, 324 individuals were identified as subsidy recipients, causing an estimated cost of more than '19.6 million to the EU budget.

Of these, 42 are believed to be involved in this case and are considered current members of the criminal group, the EPPO said.

Investigators estimate that the network illegally acquired between 5 million euros ($5.8 million) and 10 million euros out of more than 20 million euros in total subsidies.

Most suspects are not connected to farming, and the core group is believed to consist of about 10 individuals, Greek national broadcaster ERT reported.

The operation was conducted in cooperation with the European Public Prosecutor's Office, which began investigating the case about 18 months ago, the report added. (1 euro = 1.16 US dollar)

Greek Prime Minister Kyriakos Mitsotakis, under pressure due to his family's political ties in Crete, vowed to imprison those guilty and recover the misappropriated funds.

He claimed the fraud began in 2016, before his 2019 tenure, and warned that Greece's EU subsidies could be at risk if the issue isn't resolved.

"Whatever the political cost, I am not backing down," Mitsotakis told Skai radio.

Government Minister Michalis Chrysochoidis echoed the sentiment, stressing that public resources must not be embezzled for personal gain.

Several Ministers and Deputy Ministers have resigned over their alleged involvement in the scandal.

The EU has already fined Athens '400 million after finding evidence of systemic failings in the handling of farm subsidies from 2016 through to 2023.

Greece also risks losing its EU farm subsidies unless it provides an improved action plan on how it will stop funds being siphoned off into corruption.

The original deadline was October 2, but this has now been pushed back to November 4.

/IANS