Domenico Dolce and Stefano Gabbana, whose creations are regularly worn by celebrities from Katy Perry to Taylor Swift to Matthew McConaughey, have been found guilty of tax evasion. The duo, along with five business associates, were given a suspended sentenced of one year and eight months in jail by an Italian judge on Wednesday in Milan, Italy, according to Women's Wear Daily. (The prosecution sought a whopping three years.)
The company must also pay what amounts to about $670,000 in tax penalties, according to the Associated Press.
The people behind the high-end label were investigated for tax fraud in 2008, before they were indicted in November 2010 for failing to pay taxes on approximately $268 million in income.
At one point, the charges had been dismissed by a lower court, but Italy's Supreme Court brought them back. Dolce, Gabbana, and certain colleagues were found guilty of avoiding taxes on money earned through its holding company, Gado Srl.
However, the designers have always proclaimed their innocence, and in a 2011 interview with Women's Wear Daily, Gabbana revealed his strategy for dealing with the charges.Matthew McConaughey sports D&G. (Getty Images)
"We pretend it doesn't exist," Gabbana said. "It's not in our thoughts on a daily basis."
When Dolce & Gabbana opened its flagship boutique on Manhattan's Fifth Avenue last month, Gisele Bundchen, "Modern Family's" Jesse Tyler Ferguson, and fashion icon Chloe Sevigny were just some of the famous faces on hand.
And it was just announced on Wednesday that Bruno Mars will wear exclusive looks from Dolce & Gabbana on his upcoming summer tour.
Do you think stars will continue to support the brand now?
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