Dolce & Gabbana to go out of business if forced to pay tax evasion fine?
In an all-out-war with Italian authorities, following their sentencing to prison by an Italian court last month, as the climax of a 3 year tax evation trial, Domenico Dolce & Stefano Gabbana, sole owners of Dolce & Gabbana took another PR stance earlier this week, closing their stores in Milan for three days. Their drastic decision came as Milan city councillor Franco D’Alfonso said ‘the city should not give any public space to the designers, saying: “We do not need tax evaders to promote us”. Now, they say they want to put the episode behind them and are happy to meet with Giuliano Pisapia, the mayor of Milan, who accused them of overreacting.
The duo were given 20 month jail terms and have been ordered to pay 343.4 million euros plus interest but are appealing the sentence. ”If we deserved the sentence, there would be nothing to say,” Gabbana said on Wednesday. “But we do not deserve it, and so unfortunately we would have to close.” His fashion partner Dolce added: “We will close. What do you want us to do? We will close. We will not be able to deal with it. (It’s) Impossible.”
Two leading Italian legal analysts approached by CPP-LUXURY.COM last month, said, under anonymity that, given Italy’s very intricate and bureaucratic legal system, the designers are highly unlikely to serve any prison time, as appeal could take years. Whether they can be ‘forced’ to pay the tax evasion fine, this is again subject to very lengthy legal and administrative procedures.