Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Bulgari brothers to face trial on tax evasion charges

Published 26/05/2015, 17:02
© Reuters. Tourists walk past the Bulgari boutique on Rodeo Drive, decorated for Christmas, in Beverly Hills
LVMH
-

ROME (Reuters) - Two heirs to Italian luxury jeweller Bulgari denied wrongdoing on Tuesday after an Italian court ordered them to stand trial along with 11 others on suspicion of tax evasion.

Brothers Nicola and Paolo Bulgari will be called to respond to allegations the jeweller evaded taxes between 2006 and 2010, before it was taken over by French luxury group LVMH (PA:LVMH).

"They say they are innocent, because there is no fraud," the Bulgari brothers' lawyer Bruno Assumma told Reuters.

The investigation centres on a subsidiary based in Ireland which prosecutors say allowed Bulgari to benefit unfairly from that country's lower corporate tax rate, a judicial source said.

Assumma said the Irish company functions normally within the group.

In 2013, prosecutors seized assets worth more than 45 million euros (31.82 million pounds), including Bulgari's office on Rome's prestigious Via Condotti, as part of the same investigation.

The first hearing will take place on Oct. 13, the judicial source said.

In 2011, LVMH bought the Bulgari family's 50 percent stake in the jeweller for 1.87 billion euros, and spent as much in a takeover bid on the rest of the shares.

© Reuters. Tourists walk past the Bulgari boutique on Rodeo Drive, decorated for Christmas, in Beverly Hills

A deep recession following the euro zone debt crisis has strained public finances and prompted Italy to crack down harder on tax evasion, which the treasury says costs it 90 billion euros ($98 billion)a year.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.