Supreme verdict: Messi guilty of tax fraud, gets 21-month jail

MAdrid, May 24

Spain’s Supreme Court on Wednesday rejected an appeal by Barcelona football star Lionel Messi and stood by a Catalan regional court’s 21-month prison sentence for tax fraud, court documents showed. The five-times World Player of the Year is unlikely to go to prison, however.

Messi and his father Jorge were found guilty by a Catalan court last July on three counts of tax fraud between 2007 and 2009 to the tune of 4.1 million euros on image rights and were also fined £1.7 million. The court reduced Jorge Messi’s sentence from 21 months to 15, however, for returning the defrauded amount to Spain’s tax authority. Neither Messi nor his father are expected to serve time in jail, as under Spanish law sentences under two years can be served under probation. 

A court statement said Messi “unequivocally understood his obligation to pay tax on income obtained from exploiting his image rights...therefore it is not logical that he should ignore his duty to pay tax on them”. The Supreme Court’s ruling brings an end to a case which began in 2013.

Messi, 29, and his father defrauded the Spanish tax office of 4.1 million euros between 2007 and 2009 by using a web of shell companies based in Belize, Switzerland and Uruguay to evade taxes on income from the player’s image rights.

Messi, who has won eight La Liga titles, four King’s Cups and four Champions League crowns with Barcelona, finished top scorer in Spain this season with 37 league goals. He is set to play in the King’s Cup final next Saturday in Madrid, the last game of the domestic season. Barcelona, who last year released a statement in support of Messi following his guilty sentence and launched a campaign in support of him on social media, have not yet commented on the decision. — Reuters

Messi files
What exactly is the case? 

Messi and his father defrauded the Spanish tax office of almost 4.2 million euros between 2007 and 2009 by using a web of shell companies to evade taxes on income from the player’s image rights.

How it panned out 

2013 The Spanish authorities alleged that Messi and his father failed to pay taxes worth €4.1 million. The reports claimed that the alleged fraud started in 2006, and was initiated by Messi’s father

Messi and his father appeared in the court for the first hearing of the case. They paid €5m to the Spanish authorities, but that did not prevent the prosecution. Their lawyer said they made a corrective payment to Spanish authorities

2014 The Spanish court prosecutes Messi for the alleged tax fraud. The court wasn’t convinced with the argument that Messi’s finances were handled by his father and the footballer wasn’t in the know of things at all

2015 The court rejected second appeal to drop charges against Messi. The court maintained that Messi was aware of what was happening

2016 Messi was sentenced to 21 months in prison and fined $2.2 million after being found guilty of three counts of tax fraud

2017 Supreme Court confirmed a 21-month jail sentence and $2.25 million fine after the Barcelona football star had lodged an appeal