Stellantis Chair John Elkann Targeted in €75M Tax Fraud Seizure

John Elkann, the Chairman of Stellantis and Ferrari, is at the center of an Italian investigation into alleged tax fraud, with an Italian judge ordering the seizure of assets valued at nearly €75 million ($84 million). The probe, opened earlier this year, also involves Elkann’s siblings, Lapo and Ginevra, as well as two financial professionals linked to the case. This situation adds a new layer of complexity to an already publicized family inheritance dispute.

Background of the Investigation –

The investigation focuses on the inheritance of Marella Caracciolo, the Elkanns’ grandmother and the wife of the late Fiat boss Gianni Agnelli, who passed away in 2019. Prosecutors in Turin argue that the Elkanns failed to pay taxes in Italy on the assets they inherited from Caracciolo, whose tax residency status has become a central issue.

Prosecutors claim that Caracciolo had been a resident of Italy since at least 2010, despite assertions that she lived in Switzerland. As a result, they believe her estate should have been taxed under Italian law, not Swiss law. They describe the Swiss residency claim as part of “a criminal plan to hide her substantial assets and related income from Italian inheritance and tax laws.”

The seized assets also affect two key figures associated with the family: Gianluca Ferrero, John Elkann’s accountant, and Urs von Grunigen, a Swiss notary who served as the executor of Caracciolo’s estate.

Legal Defense –

Elkann’s legal team has responded to the asset seizure by stating that it is merely a procedural step and does not imply guilt or liability for the defendants. According to the Elkanns’ lawyers, Marella Caracciolo had been a Swiss resident since the early 1970s, well before her grandchildren were born. They argue that her Swiss residency status was well-established and maintained throughout her life, and they are confident that they can demonstrate this in court.

The lawyers have also stressed that the investigation’s findings do not implicate the Elkanns in any wrongdoing, expressing full confidence that the accusations will be disproven.

A Family Divided –

The case is further complicated by a long-standing inheritance dispute between the Elkann siblings and their mother, Margherita Agnelli, over the estate of Gianni Agnelli. This feud has divided one of Italy’s most prominent business families, which is deeply connected to the Fiat automotive empire. The new allegations related to tax fraud add to the public scrutiny surrounding the family and its legacy.

Source: Detroit Free Press