Alleged Tenerife Crime Boss Derbah on Trial for Extortion, Fraud

This week, a trial has begun in Spain's National Court against an alleged criminal group. This group, supposedly led by Lebanese businessman Mohamed Derbah, is accused of operating in the tourist areas of Southern Tenerife. They allegedly forced businesses to use their security services through threats. At the same time, they are accused of repeatedly defrauding people by selling fake timeshare apartments and holiday packages.

The court hearing started last Thursday, more than 24 years after the suspects were first arrested on the island.

According to the Public Prosecutor's Office, the criminal group had ten members. Besides Mohamed Derbah, the group allegedly included his two brothers, several people who acted as front men, a father and daughter who managed the timeshare and holiday package scams, a bank branch manager, and a now-retired police officer from the Guardia Civil.

Mohamed Jamil Derbah is identified by the Public Prosecutor's Office as the leader of this criminal organization. He is accused of giving specific orders for various illegal activities. He faces charges of being part of an illegal association, continuous fraud, money laundering, making threats, and bribery. Prosecutors are asking for a 26-year prison sentence and a fine of 766,858 euros for him.

Hussein Jamil Derbah, known as Sam in Southern Tenerife, is Mohamed's brother. He was allegedly Mohamed's trusted person for intimidating shopkeepers and business owners in Playa de las Américas, forcing them to use the organization's private security services. Sam also acted as an administrator for two companies. He is charged with being part of an illegal association, continuous fraud, and threats. Prosecutors are seeking 16 years in prison and a fine of 3,600 euros for him.

Hatem Jamil Derbah is the third brother involved. He was allegedly used as a front man for the organization's companies and in acts of intimidation and extortion. He helped set up two commercial companies where he served as an administrator. He is accused of being part of an illegal association, continuous fraud, and threats. The Public Prosecutor's Office is asking for the same penalties for him as for Sam.

Abdallah Ali Farhat was an administrator for two companies and a representative for a third, all allegedly used by the organization for fraud. He is charged with being part of an illegal association and continuous fraud. The prosecutor is requesting four and a half years in prison and a fine of 3,600 euros for him.

Djamila Berkaine, a Lebanese woman, held various roles in several of the group's companies that were allegedly used for fraud. In addition to being accused of illicit association and continuous fraud, investigators also link her to money laundering. The prosecution is seeking a sentence of seven years and three months in prison and a fine of 539,604 euros for her.

Chamel Fadel Chamseddime, a French national, allegedly acted as a front woman and ran the gang's fraudulent businesses, such as telemarketing. She is listed as the holder of bank accounts used to transfer money from the gang's criminal activities abroad. She is charged with being part of an illegal association and continuous fraud.

Dennis Joynson and Lisa Marie Joynson, a British father and daughter, allegedly organized and directed the sale of timeshare products and holiday packages. Investigators and the Public Prosecutor's Office believe these activities were used to defraud buyers. They are also accused of controlling a fake customer service department for complaints from unhappy clients, designed to distract and confuse them. They are being prosecuted for being part of an illegal association and continuous fraud. The Public Prosecutor's Office is asking for four years and six months in prison for them.

José Esteban García, a Spanish national, was a bank branch manager. He allegedly helped the organization open accounts used for fraud, specifically for the fake sale of holiday packages and "cash back" products. His role also involved allegedly moving the organization's money to different accounts, separate from those used for the fraud. García also acted as the sole administrator of a company used for the alleged criminal activities. The Public Prosecutor's Office is prosecuting him for money laundering, requesting a sentence of two years and nine months in prison and a fine of 536,004.80 euros.

José Martín Fernández was a sergeant in the Guardia Civil at the time. The Public Prosecutor's Office alleges that he provided information about ongoing investigations into Derbah's gang and received money for it. He is accused of bribery, revealing secrets, and failing to report crimes. The prosecutor is asking for two years in prison for Martín Fernández and a fine of 229,414 euros.

According to the Public Prosecutor's Office, the main criminal activity of this organization was selling holiday packages. These packages promised the use of apartments or hotels in various tourist destinations worldwide for a certain period, usually several weeks a year. They also allegedly included discounts on things like airline tickets or car rentals.

The gang used touts to approach tourist couples on the streets. The trick to get them into their offices was to give them scratch cards where victims would "win" a prize. Then, the real sellers would step in to sell the fake products. According to the "Operation Cedro" investigation, the selling price for these packages ranged from 4,000 to 12,500 British pounds at the time.

The gang was reportedly able to sell between 30 and 40 packages a week. The Public Prosecutor's Office estimates the group could earn around 408,000 euros (about 68 million Spanish pesetas at the time). The first payment, 10 to 20% of the total, was made by bank card at the sales office. The second payment was made by bank transfer from the victim's home country to bank accounts in tax havens.

However, the apartments and hotels offered in other parts of the world did not exist, and the promised discounts were not real. The only properties available through the organization were in Tenerife, and there weren't enough of them to meet the demand from all the buyers. If a client insisted on taking holidays in other locations, they were told they had to pay an additional amount, as their first payment was no longer valid. Over time, so many obstacles were put in their way that clients eventually gave up trying to get their money back or use the services. This is what the prosecution claims.

Affected clients would call a supposed reservation center, allegedly run by Dennis and his daughter. Women speaking several languages would tell them there was no availability in those "idyllic destinations" elsewhere in the world. They would then offer alternatives in Tenerife and other parts of Spain. When complaints piled up, they would simply change the phone numbers.

Another fraudulent scheme was the "cash back" program. Victims were promised that if they deposited a certain amount of money, it would be returned to them three years later with a much higher interest rate than the market offered. However, after 36 months, the victims received nothing, and the organization allegedly kept their entire deposit. Investigators believe the group stole several million British pounds from British citizens this way.

Mohamed Derbah first arrived in Tenerife in the late 1980s, working as head of security for British businessman and alleged mobster John Palmer. About a decade later, he started his own businesses, which were very similar to Palmer's in the developing tourist areas of Costa Adeje, Las Américas, and Los Cristianos. The investigation into his organization began in 1999. In November 2001, former judge Baltasar Garzón led "Operation Cedro." Derbah has never been convicted. In recent years, he tried to improve his public image, presenting himself as a legitimate businessman, a diplomatic representative for Guinea Bissau, and even forming a political party called Fuerza Canaria. However, in the second half of 2024, national police began closing cannabis clubs in Southern Tenerife, some of which were linked to Derbah. He reportedly tried to use his influence with politicians in the Canary Islands, such as socialist deputy Gustavo Matos and government sub-delegate Javier Plata, to stop these police actions. In April 2025, the National Police's Internal Affairs department conducted an operation that led to the arrest of Derbah, two retired chief inspectors and a sub-inspector of the National Police, a lawyer, and several associates.