Italian Authorities Target Campari Owner in Major Tax Evasion Investigation

Thu Dec 11 2025 05:44:54 GMT+0200 (Eastern European Standard Time)

The Campari Group's parent company, Lagfin, faces a seizure of shares amid allegations of tax evasion, sparking scrutiny into its financial practices.

Italian financial police have seized €1.3 billion in shares from Lagfin, the company controlling the famed Campari brand, as part of a year-long investigation into alleged tax evasion linked to a merger. The company claims compliance with all tax laws, while reports suggest significant undeclared capital gains.

Italian police have seized shares worth €1.3 billion (£1.1 billion; $1.5 billion) from Lagfin, the Luxembourg-based company controlling the Campari Group, amid serious allegations of tax evasion. This action is part of a comprehensive investigation into Lagfin’s financial dealings during its absorption of its Italian subsidiary.

The investigation, which has been ongoing for more than a year, accuses Lagfin of dodging taxes during this merger, with officials asserting the company failed to pay taxes equivalent to the seized shares. In response, Lagfin has stated that it has adhered to all applicable tax laws.

Campari, a leading producer of various alcoholic beverages including Aperol and Grand Marnier, has distanced itself from the investigation, maintaining that neither it nor its subsidiaries are implicated in the allegations. However, local media reports name chair Luca Garavoglia as a key figure under investigation.

In a statement, Lagfin claimed it has always acted in compliance with tax regulations and described the situation as a tax dispute. The Italian prosecutors launched a formal probe last year, following findings that suggested Lagfin had amassed approximately €5.3 billion in undeclared capital gains between 2018 and 2020, failing to pay an 'exit tax' typically levied on firms relocating abroad.

Further complicating the issue, Lagfin is under scrutiny for allegedly transferring Italian assets to foreign ownership purely for tax benefits, as reported by the Italian newspaper Il Sole 24 Ore.

Garavoglia, who inherited his stake in Campari from his mother, is facing investigation alongside Giovanni Berto, the head of Campari's Italian operations. Lagfin has vowed to defend itself robustly in this legal challenge, asserting that its ownership stake—over 50% of Campari shares and 80% of voting rights—insulates the firm from the implications of this seizure.

Founded in 1860 by Gaspare Campari, the company’s success skyrocketed following its commercialization in 1904, later leading to numerous acquisitions in the alcohol domain. Today, Campari holds a valuation of around €7 billion on the Milan Stock Exchange.