Dolce & Gabbana Sentenced To Prison For Tax Evasion
Are Dolce & Gabbana headed to jail?
Iconic Italian design duo Domenico Dolce and Stefano Gabbana have been convicted of tax evasion in Italy and have been sentenced to one year and eight months in prison!
Will they be able to design their own prison jumpsuits?!
An Italian court Wednesday sentenced Italian fashion designers Domenico Dolce and Stefano Gabbana to 1 year and 8 months in prison for tax evasion on income of around €1 billion ($1.34 billion).
The pair's lawyer, Massimo Dinoia, said that Messrs. Dolce and Gabbana planned to appeal, adding that the case is "groundless." The designers, known for their sexy styles favored by celebrities such as Madonna, Naomi Campbell and Scarlett Johansson, have denied the charges.
The case dates back to 2004, when two of the company's main brands were sold to Luxembourg-based holding company Gado. Prosecutors alleged that the sale was made to avoid declaring taxes on royalties deriving from the two brands' activities for about €1 billion. The two men deny the charges.
Under Italian law, the pair would not go to jail because sentences of less than three years are served with house arrest or community service. Moreover, the designers have the right to appeal the verdict twice, and Italian courts often take years to reach a final decision.
Public prosecutor Laura Pedio dubbed the operation as a "sophisticated tax fraud" and originally asked for a two-year jail term for the duo. If the conviction is upheld, the pair would also need to pay a fine to Italy's tax agency for €500,000.
So it sounds like based on the inevitable appeals D&G will probably avoid prison time. But just in case, perhaps they should invite Naomi Campbell over for dinner and get a little insight on how to stay fierce while in the joint.