The Chief Executive Officers of Prada S.p.A., an Italian luxury fashion brand, is currently being investigated by the Italian Judicial Authority for their previous individual tax filings.
Prada S.p.A. specializes in leather goods such as bags, totes and wallets, fashion accessories, shoes, luggage, perfumes, watches, any many more. Founded in 1913 by Mario and his brother Martino Prada in Milan, Italy, the brand rose to fame starting with their initial shop that sold leather goods, handbags and imported English steamer trunks.
Mario Prada's daughter, Luisa Prada took over the business eventually and ran it for twenty long years. Luisa then finally passed on the business to her daughter Miuccia Prada last 1978.
In 1977, Miuccia met an Italian man who had begun his own leather goods business at a young age, Patrizio Bertelli, who eventually joined the company. Bertelli had a good influence on the business as he was the one who advised Prada on better decisions for the company. In 1987, Miuccia and Patrizio got married.
Miuccia Prada and Patrizio Bertelli were both informed of their examinations. According to Prada, the examination was "regarding the accuracy of certain past tax filings by them as individuals in respect of foreign-owned companies."
Per Chairman Carlo Mazzi "The company [Prada S.p.A.] confirms that neither the company nor any of its subsidiaries was or is involved in this matter,"
The company said that a previous voluntary disclosure by the Chief Executive Officers had concluded to an agreement with all the parties concerned that "completely satisfied the claims of the Italian Tax Authority.
Earlier this month, the luxury brand Prada had reported a 21 percent decline in first half of 2014 net income as demand in Europe and Asia remained weak. This year, Prada's shares had already dipped by 30 percent.
