Italy Launches $13 Million Soccer Tax Fraud Probe--Update
27 January 2016 - 4:56AM
Dow Jones News
By Giovanni Legorano
MILAN--Prosecutors in the Italian city of Naples said they are
carrying out a countrywide investigation into an alleged EUR12
million ($13 million) tax evasion scandal involving soccer players,
their agents and a number of soccer clubs.
In a statement, prosecutors said police early on Tuesday raided
the offices and houses of 58 people allegedly involved in the
scandal. The police were looking for cash, real estate and
financial assets in the hope of reclaiming the total sum allegedly
evaded, the statement said.
The statement didn't mention any of the people or teams
involved, but a person familiar with the probe said Adriano
Galliani, chief executive of AC Milan, Aurelio De Laurentiis, head
of SSC Napoli and Claudio Lotito, president of SS Lazio, are under
investigation.
Lawyers for Mr. Galliani confirmed that he had been notified
about the investigation and said they expect the probe would be
"duly shelved." A spokesperson for AC Milan had no further
comment.
Napoli and Lazio didn't immediately respond to emails and calls
seeking comment, but a spokesman for Lazio told Reuters news agency
that he wasn't aware of the probe.
Messrs. De Laurentiis and Lotito nor their lawyers could be
reached for comment.
Prosecutors say the tax evasion was perpetrated when players
were traded between clubs. They allege that agents charged false
invoices to soccer clubs, claiming to be acting in the interests of
those clubs rather than the players. Those owners were able to
deduct the invoiced amounts as costs from their taxable
revenue.
The money paid to the agents was then allegedly passed to the
players as a tax free fringe benefit.
Prosecutors also allege that some Argentine agents have evaded
taxes by moving their income to tax havens and not declaring them
in Italy or Argentina.
The probe is part of a wider investigation into a "deep-rooted
system intended to evade taxes, put in place by 35 football clubs
in Serie A and Serie B along with more than 100 other individuals,
including players and their agents," Naples prosecutor Vincenzo
Piscitelli said.
Write to Giovanni Legorano at giovanni.legorano@wsj.com
(END) Dow Jones Newswires
January 26, 2016 12:41 ET (17:41 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
SS Lazio (BIT:SSL)
Historical Stock Chart
From Nov 2024 to Dec 2024
SS Lazio (BIT:SSL)
Historical Stock Chart
From Dec 2023 to Dec 2024