Breaking: Dolce & Gabbana Found Guilty for Tax Evasion


Women’s Wear Daily dropped a bombshell on the fashion industry this morning when they announced legendary design duo, Dolce & Gabbana, were found guilty of tax evasion and sentenced to one year and eight months.

Following investigations that began in 2008, initiated by an Italian police force under the authority of the national minister of economy and finance, both designers were charged with alleged tax evasion totaling about $540 million at current exchange, related to the 2004 sale of the Dolce & Gabbana and D&G brands to the designers’ Luxembourg-based holding company, Gado Srl. The Italian tax police reportedly consider Gado essentially a legal entity used to avoid higher corporate taxes in Italy.

In addition to the designers’ sentencing, prosecutors also requested Alfonso Dolce, Domenico’s brother, and finance director Giuseppe Minoni be sentenced to two years in prison, that accountant Luciano Patelli be sentenced to three years in prison as the “main orchestrator” of the evasion scheme, while defendant Antoine Noella be absolved for lack of evidence. The designers are expected to appeal the decision.

Despite the fact that the Dolce & Gabbana tax evasion case has been making headlines for the past 6 years, we have to say we’re surprised that they were actually found guilty! More updates as news of the appeal unfolds…..

-Alia Rajput

Article Source: WWD

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