Designers Dolce and Gabbana have been jailed for a year and eight months in Italy for tax evasion.
Italian tax authorities accused Domencio Dolce and Stephano Gabbana of hiding millions of euros from them. The investigation began six years ago as part of Italy’s planto crack down on tax avoidance.
In the hearing which took place on Wednesday, the judge ruled that the duo moved their brand to a Luxemburg-based company called Gado in 2004 – a move the judge said was made in an attempt to avoid paying taxes on royalties of around I billion euros ($1.3 billion). Fun fact: Gado is an anagram of their surnames Gabanna and Dolce.
The two were not present during the sentencing but had denied the allegations and have appealed.
They had earlier won this case in 2011 but Italy’s highest court overturned it and ordered a retrial.