Fashion designers Domenico Dolce and Stefano Gabbana were each given a reduced sentence of 18 months in jail on Wednesday for a conviction on charges of hiding hundreds of millions of euros from Italian tax authorities.
Italy’s appeals court upheld a verdict issued last June against the pair on charges of using Luxembourg holding company Gado to avoid paying taxes on royalties of about €1bn (£820m).
The sentence was reduced from 20 months because a statute of limitations applied to certain facts in the case.
A lawyer for Dolce and Gabbana, who have always denied any wrongdoing, said they would appeal against the decision. “I am speechless. We are all shocked. The judgment is inexplicable and we will appeal,” Massimo Dinoia said.
[theguardian]