Italian Financial Police raid Milan HQ for American owners sale
Italian prosecutors are investigating the sale of Serie A heavyweight AC Milan. On Tuesday, police investigated the club’s headquarters as part of their inquiry. RedBird Capital Partners bought the Rossoneri out from Elliott Management in August 2022.
However, Elliott allegedly still owns and controls the Italian giants, according to Milan prosecutors. Italian banking authorities raided the AC Milan offices on Tuesday. They also checked the residences of both the present CEO, Giorgio Furlani, and the previous CEO, Ivan Gazidis as well.
The Italian FA has accused the two of concealing facts about the deal that is now under investigation. Regarding the club’s ownership structure, they need to have informed the Italian Football Federation (FIGC) of this.
Club says it is cooperating with authorities
“It seems that the majority of the funds used to buy the club originate from an investment vehicle that does not belong to RedBird. The suspicion is that Elliott currently maintains effective control of the company,” as stated in the warrant for search, via the Financial Times.
Prosecutors also claimed in the warrant that Elliott indirectly controls the French side Lille. They say is breaking regulations imposed by UEFA, the regulatory body of European sport. Amid these accusations, the Serie A greats issued a statement to the press denying any direct involvement in the probe.
“In regards to the search carried out today in its headquarters, AC Milan is a third party and extraneous to the ongoing legal action concerning the purchase of the club.”
“The investigation, which also involves the legal representatives with authority to sign, Giorgio Furlani and Ivan Gazidis, hypothesizes incorrect communications to the competent vigilance authority. The club is giving its full cooperation to the investigating authority.”
What did Elliott and RedBird say about AC Milan sale?
Elliott denied the claims that they had any involvement with or influence over AC Milan after the sale.
“We note reports this evening that the current and former CEOs of AC Milan are under investigation in connection with an allegation that the football club still belongs to Elliott. It was hidden from the football federation, this allegation is false,” they said.
Additionally, RedBird issued a statement reiterating their position as ‘the controlling owner of AC Milan and will remain so’. “RedBird Fund IV and its subscribers own 99.93% of AC Milan; the remaining 0.07 is in the hands of individual Italian shareholders who are long-time fans of the Club [the APA],” read a statement.
“The idea that RedBird does not own or control AC Milan is absolutely false. This is contradicted by all evidence and facts, including those that allegedly are the basis of the investigation.
“When we took control of the Club after the closing, Elliott provided a loan to RedBird with a three-year maturity and no voting rights. Our goal is to bring Milan back to the top of Serie A and European football. Everything else takes away from achieving this goal.
“There are no ongoing discussions with any investor who could exercise control over the Club. RedBird is the controlling owner of AC Milan and will remain so.”
PHOTOS: IMAGO.