Ferrari, Stellantis Chair John Elkann Reportedly Reaches Plea Deal In Tax Fraud Case – Here’s How Much He’ll Pay

Stellantis (STLA) and Ferrari Chairman John Elkann has reportedly agreed to serve a year of community service and, with his siblings, pay €183 million ($215 million) to settle a tax dispute linked to their grandmother Marella Caracciolo’s estate.

Marella Caracciolo is also the widow of Fiat patriarch Gianni Agnelli. According to a Reuters report, Italian prosecutors approved Elkann’s plea bargain for the year of community service, but it still has to be ratified by a judge. Next, Elkann will have to propose an institution where he can serve his community service sentence, it added, highlighting that options include a senior center, a rehabilitation group, or another social service organization.

The report also said that the prosecutors have asked the judge to drop the criminal case against Elkann’s siblings, Lapo and Ginevra, as well. The €183 million payment reportedly closes all probes into the alleged tax evasion on an estate valued by the Italian authorities at roughly €800 million.

The case stems from a broader inheritance battle within the Agnelli family, one of Italy’s most prominent business families. The report stated that the dispute pits Gianni Agnelli’s daughter, Margherita, against three of her eight children, including Eklann. It said that Margherita is challenging agreements she signed in 2004 at the time of inheriting €1.2 billion after her father’s death in order to redirect assets to her five children from a second marriage.

At the time of writing, Stellantis’ stock was down 1.5% in afternoon trade on Monday after the National Highway Traffic Safety Administration (NHTSA) announced that it launched an investigation into 287,000 Chrysler Pacifica vehicles. The agency said it had concerns about the intermittent loss of electric power steering (EPS) during gradual turns. 

Stellantis’ stock has fallen more than 30% this year and dipped around 42% over the past 12 months. 

Read also: PNC To Buy Colorado’s FirstBank for $4.1B In Push To Bolster National Reach: Report

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