Carlo Ancelotti's Tax Fraud Trial: Real Madrid Coach Faces Prison Sentence
Carlo Ancelotti, the head coach of Real Madrid, arrives at the High Court of Justice in Madrid to face trial, as captured | Picture Credit: AFP
Carlo Ancelotti has denied charges of tax fraud in his trial, claiming he didn't fully understand the contracts he signed. Stay informed about the latest developments in the case against the Real Madrid coach.
The tax fraud trial of Real Madrid coach Carlo Ancelotti concluded on Thursday in Spain, with prosecutors reiterating their request for a prison sentence of four years and nine months. Ancelotti is accused of concealing income from the tax authorities.
The allegations against Ancelotti stem from his first stint as Real Madrid coach, specifically from 2014 to 2015. During this period, he allegedly failed to declare earnings from image rights, resulting in unpaid taxes exceeding one million euros. As a renowned coach with a record five Champions League titles, including three with Real Madrid, Ancelotti's case has drawn significant attention.
Prosecutors have alleged that Carlo Ancelotti established a complex network of shell companies to conceal his additional earnings from image rights and other sources, such as real estate, during his first stint as Real Madrid coach. According to the prosecution, Ancelotti only reported his salary, while hiding his extra income. The lead prosecutor emphasized in his closing arguments, “We consider the acts of fraud, concealment and omission to be proven.” He reiterated his demand for Ancelotti to be sentenced to four years and nine months in prison.
Spain's legal system allows prosecutors to modify charges or penalties based on evidence presented during the trial. In his defense, Ancelotti, 65, denied intentional tax fraud when he testified on Wednesday. He explained that, following the advice of the club, a firm was set up to collect 15% of his annual salary of six million euros in image rights. Ancelotti claimed he was unaware that this arrangement allowed him to pay less tax. He stated, “At that time, all the players and coaches were doing it that way, it seemed like the right thing to do.” Additionally, he mentioned that former Real coach Jose Mourinho had a similar arrangement.
Ancelotti's Tax Fraud Trial Concludes
During his closing arguments, Ancelotti's lawyer claimed that his client “did not fully understand what he was signing,” and requested that the court acquit the Real Madrid coach. The lawyer also suggested that the Spanish tax authorities had pursued the case in order to subject Ancelotti to “public humiliation,” rather than settling the matter out of court.
The case against Ancelotti is not an isolated incident, as Spanish authorities have been cracking down on tax evasion among football stars in recent years. Previous cases involving high-profile players have often resulted in suspended sentences or out-of-court settlements. For example, Jose Mourinho received a one-year suspended sentence in 2019 after pleading guilty to tax fraud. Similarly, Lionel Messi and Cristiano Ronaldo were both found guilty of tax evasion, but their prison sentences were waived due to their status as first-time offenders.
Ancelotti's managerial career has spanned several top-tier clubs, including Real Madrid, Bayern Munich, Napoli, Everton, and Paris Saint-Germain. He initially joined Real Madrid in 2013, departing in May 2015, before returning to the club in 2021. Throughout his career, Ancelotti has achieved numerous accolades, including multiple Champions League titles, domestic league wins in several countries, and two European Cup victories as a player with AC Milan.
Prosecutors have accused Carlo Ancelotti of creating a complex system of shell companies to conceal his additional earnings from image rights and other sources, such as real estate, during his first stint as Real Madrid coach. According to the prosecution, Ancelotti only reported his salary, while hiding his extra income.
In his closing arguments, the lead prosecutor stated, “We consider the acts of fraud, concealment and omission to be proven.” He maintained his demand for Ancelotti to be jailed for four years and nine months. Spain's legal system allows prosecutors to adjust charges and penalties based on the evidence presented during the trial.
Carlo Ancelotti, 63, denied intentionally committing tax fraud during his testimony on Wednesday. He claimed that, on the advice of the club, a firm was established to collect 15% of his annual salary of six million euros in image rights. Ancelotti stated, “At that time, all the players and coaches were doing it that way, it seemed like the right thing to do.” He also mentioned that former Real coach Jose Mourinho had a similar arrangement, and that he never realized this would allow him to pay less tax.
Defense Strategy and Precedents
During his closing arguments, Ancelotti's lawyer claimed that his client “did not fully understand what he was signing,” and requested that the court acquit the Real Madrid coach. The lawyer also suggested that the case could have been settled out of court, but Spanish tax authorities instead sought to subject Ancelotti to “public humiliation.”
🚨 𝗕𝗥𝗘𝗔𝗞𝗜𝗡𝗚: The Spanish courts have requested a 4 year and 9 month prison sentence for Carlo Ancelotti. 🤯⚖️
— Transfer News Live (@DeadlineDayLive) April 3, 2025
The Italian is suspected of tax fraud.
(Source: Guardian) pic.twitter.com/0ovmsK5K1z
The lawyer's comments highlight the high-profile nature of the case, which comes amidst a broader crackdown on tax evasion in Spanish football. Previous cases involving footballers, including José Mourinho, Lionel Messi, and Cristiano Ronaldo, have resulted in suspended sentences, often through out-of-court settlements.
Ancelotti's managerial career spans several top-tier clubs, including Real Madrid, Bayern Munich, Napoli, Everton, and Paris Saint-Germain. His impressive resume boasts numerous domestic league titles and a record five Champions League trophies.
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