The Mossos d'Esquadra, Catalonia's regional police force, arrested the owner of a travel agency in L'Escala on Wednesday. She is under investigation for fraud, and police believe the scheme is worth more than €2 million.

Officers say close to 400 people were affected. Some paid for holidays that never existed. Others learned partway through their trip that their stay had not been fully paid for and that they still owed money.

Jordi Casanovas is a deputy inspector and head of the central economic crime area of the Mossos' criminal investigation division. He said the woman had no civil liability insurance and used the money she took from customers to pay off debts.

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