Hours after the madness at Bernabéu against Real Sociedad, Carlo Ancelotti went to the Provincial Court of Madrid this morning. There, he testified for an alleged tax fraud offense.
The Prosecutor's Office Seeks 4 Years in Prison and a 3 Million Fine for Ancelotti
Ancelotti appeared calm, accompanied by his son Davide and his wife Mariann Barrena.
The Prosecutor's Office Seeks 4 Years and 9 Months in Prison for Ancelotti for defrauding one million euros between 2014 and 2015. A fine exceeding 3 million euros is also sought.
The accusation believes that Ancelotti would have benefited from a "network of trusts and intermediary companies" in order to hide income related to his image rights. This way, he avoided paying the taxes due in Spain.
Ancelotti's Explanations
Ancelotti answered the judge's questions: "I thought everything was correct. I never realized something wasn't right, I found out in 2018. I only cared about receiving the six million net for three years and I never realized something wasn't right.
I never received a communication that the prosecutor's office was investigating me. Never before or after have I used a company for image rights except for these two years."
The judge also asked him about the company Vapia, of which he was the attorney. But he denied it: "You're asking me things I don't know what they are."
He added: "I don't remember the details of the contract. I think I only received 15% of the salary through there. It might have had a tax advantage, I don't know...
The Alleged Fraud
I was interested in receiving net pay, I was advised by a trusted English advisor. I never thought it was fraud, only when they told me I was being investigated. If I'm here, it's because things haven't been so correct," he concluded.
The accusation by the Prosecutor's Office stems from an alleged fraud by Ancelotti amounting to 1,062,079 euros in 2014 (386,361 euros) and 2015 (675,718 euros). The debt was collected by the Treasury through seizure, as well as fines and surcharges.
The prosecutor demands Ancelotti pay fines totaling 3,186,237 euros. The office also seeks four years and nine months in prison for defrauding more than one million euros from the public treasury.