Real Madrid coach Carlo Ancelotti recently wrapped up his tax fraud trial in Spain, where prosecutors didn’t hold back in laying down serious accusations. They’re pushing for a hefty sentence of four years and nine months, alleging that Ancelotti concealed income from Spanish tax authorities.
The crux of the case revolves around claims that Ancelotti used a maze of shell companies to hide his earnings. Prosecutors argue that he only reported his salary while keeping quiet about significant income from image rights and other business ventures, including real estate.
In his closing statement, the lead prosecutor doubled down on the allegations, stating, “We believe the acts of fraud, concealment, and omission have been clearly proven.” He emphasized the need for a substantial prison term, pointing out the gravity of the situation before the High Court of Justice in Madrid.
During the trial, Ancelotti, known for his remarkable career and record-breaking five Champions League titles—three of which were with Real Madrid—took the stand to defend himself. He denied any deliberate tax evasion, explaining that the financial setup was arranged when he joined the club and was advised by the organization. According to Ancelotti, the structure allowed him to collect about 15% of his salary as image rights.
He clarified that he never saw it as tax evasion, saying, “Back then, this was the standard practice for players and coaches. It seemed like the right thing to do.” He also mentioned that his predecessor, José Mourinho, used a similar financial arrangement.
Reports from Madrid hint that the trial’s outcome could significantly impact Ancelotti’s future and potentially shake up the way financial practices are handled within the world of professional sports in Spain.
