The Public Prosecution Service in Belgium has recommended a fine of €24.4 million (US$26.06 million) fine of against the Belgian branch of PostNL, the NL Times reported. The prosecutor alleged that two units within the company, PostNL Cargo and PostNL Packages, have used staff from a third party in an unlawful way. Employees of other companies were called upon, but PostNL had the most authority over them. Depots owned by PostNL Belgium were raided in connection with Belgian authorities’ investigation into the company’s alleged missteps.

PostNL, formerly TNT N.V., is a mail, parcel and e-commerce corporation with operations in the Netherlands, Germany, Italy, Belgium and the UK.

The case centers around the deal that PostNL Cargo and PostNL Pakketten made with 220 subcontractors. The prosecutor maintained that PostNL had control over the subcontractor’s employees and not over the subcontractors themselves. Hence, PostNL Belgium had undue influence over the recruitment and selection of the drivers.

“Belgian law has strict rules regarding these service agreements, which need to be clearly written with very detailed instructions that a staffing agency can give to the relevant workers,” the NL Times reported. “The prosecutor referred to a ruling from the country’s highest court, the Court of Cassation, regarding this. The prosecutor argued that the court ruled an agreement is ‘illegitimate’ when such conditions are not met.”

PostNL disagreed with the prosecutor’s accusations and stated the subcontractors with whom they cooperate run their businesses independently and direct their employees themselves.

Read the full story posted on the NL Times.