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Dolce and Gabbana face prison sentence

Luxury designers Domenico Dolce and Stefano Gabbana have been found guilty of tax evasion and face one year and eight months in prison.

The designers, along with five other defendants, were sentenced by the judge Antonella Brambilla following a three hour jury meeting this afternoon (June 19).

The design duo are expected to appeal the decision.

The judge ruled in the case on one of the two counts. The second count they were originally charged with regarding valuation of the company and the tax rate paid, had already been dismissed.

In May prosecutors Gaetano Ruta and Laura Pedio demanded that Dolce, Gabbana and board member and general director Cristiana Ruella be sentenced to two-and-a-half years in prison for tax evasion.

Ruta and Pedio alleged that the only purpose in selling the Dolce & Gabbana brands to its Luxembourg-based holding company Gado Srl in 2004 was to avoid paying taxes.

The charges were first brought in 2008, for tax evasion totalling E416m (£356m).

During the case, Dolce and Gabbana’s lawyer Massimo Dinoia asked to dismiss all the charges claiming there was no case to proceed.

 

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