A significant investigation has targeted a leading sportswear company’s German headquarters, raising concerns over suspected tax evasion.
- Authorities conducted raids at various locations, including company headquarters and private residences of employees.
- The investigation, spearheaded by European prosecutors, scrutinises customs duties and import sales taxes.
- Despite the seriousness of the allegations, the company anticipates minimal financial repercussions.
- The company attributes the issue to conflicting interpretations of tax laws and maintains ongoing cooperation with authorities.
This week, criminal prosecutors and customs investigators conducted raids at the German headquarters of a prominent sportswear company. The operation is part of a prolonged inquiry into alleged tax evasion exceeding £906 million (€1.1 billion). The European Public Prosecutor’s Office (EPPO) confirmed the criminal investigation concerning a German corporate group engaged in sportswear trade over suspicions related to customs duties and import sales taxes. Although the EPPO did not disclose the company’s name, the sportswear giant confirmed its involvement and expressed its cooperation with the authorities by providing necessary documentation.
The raids extended beyond the company’s headquarters in Herzogenaurach, reaching other business sites and even the private homes of certain employees. The investigation focuses on suspected cumulative tax damages exceeding €1.1 billion. In response, the company stated its expectation of insignificant financial impact from the proceedings. Moreover, it revealed awareness of the investigation for several years and attributed the situation to divergent interpretations of German and European legal standards.
The company remains actively engaged with customs authorities, striving for clarity and resolution of the tax discrepancies. Despite the potential gravity of the allegations, the company continues to project confidence in its position and operations.
The ongoing investigation underscores the significance of transparent tax practices and the complexities of international tax law.
