Updated

Serbian police say they have arrested 16 customs officers and a businessman over alleged corruption.

Police said in a statement on Monday that the suspects enabled local companies to import goods without paying taxes which cost the state around 11.5 million euros ($12.5 million).

Police say the accused customs officers accepted fraudulent documentation and cleared the goods of taxes as if they had been intended for embassies and foreign organizations in the Balkan country.

The goods included cigarettes, perfumes and various other products that are normally highly taxed, and which were later sold on the black market.