- John Elkann and his siblings allegedly failed to report €249 million in hidden assets.
- The Stellantis chairman will choose where he completes one year of community service.
- Elkann avoided charges and was not required to admit guilt under the agreement.
Chairman of Stellantis and Ferrari, John Elkann, is one of the most influential figures in today’s automotive world. Yet over the coming year, his daily routine could look very different. Instead of board meetings and strategy sessions, Elkann may find himself assisting at a center for the elderly or volunteering with an organization that supports people struggling with addiction.
This isn’t a charitable detour but part of an agreement to resolve a long-running tax inheritance dispute with Italian authorities.
Read: Stellantis And Ferrari Chairman’s Assets Reportedly Seized In Tax Fraud Probe
When Elkann’s grandmother Marella Caracciolo died in 2019, she left John and his siblings, Lapo and Ginevra, a huge inheritance worth approximately €800 million ($942 million). According to authorities in Italy, the heirs of the Gianni Agnelli dynasty failed to declare roughly €249 million ($293 million) in income and assets, with much of it tied to Caracciolo’s residence in Switzerland.
A Costly Resolution
To end the criminal investigation, John Elkann and his siblings have agreed to pay €183 million ($215 million) to tax authorities in Italy. Additionally, John will serve one year of community service at an institution of his choosing. According to Reuters, this could be at an institution like a center for the elderly or an association helping drug addicts, providing an important social-support function.
Importantly, none of the Elkann siblings has been forced to make an admission of guilt despite the agreement with prosecutors.
The Legacy of Fiat Wealth
The Elkanns have been locked in inheritance disputes for years. When former Fiat boss Gianni Agnelli died in 2003, he left a massive estate worth roughly €1.2 billion ($1.4 billion) to his daughter Margherita. She has been fighting to overturn agreements she signed in 2004, and now wants to leave this inheritance to her five children from a second marriage, not the Elkanns.
As part of this ongoing case, almost €75 million ($88 million) worth of money and assets were seized from John, Lapo, and Ginevra Elkann, and two others, last year.
Details about the structure of John Elkann’s community service remain unclear, including how many hours he will be required to serve and how it might affect his leadership duties at Stellantis and Ferrari. For now, what is certain is that one of the most powerful executives in the global car industry could spend the next year balancing corporate boardrooms with the obligations of public service.
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