Controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2007
Settlements with auditing and banking firms
The restructured company pursued litigation against parties alleged to have contributed to or failed to detect the fraud. Deloitte agreed to a reported $149 million settlement, followed by settlements involving Bank of America and Grant Thornton.
2003
Parmalat accounting scandal and collapse
Parmalat used complex financial arrangements, derivatives and offshore entities while concealing the scale of its debt. The alleged €3.95 billion Bonlat bank balance was supported by a forged document. The company became insolvent in December 2003, and administrators later estimated liabilities at about €14.3 billion.
2003
Criminal proceedings against former management
Founder Calisto Tanzi and other former executives and associated parties faced proceedings for fraud, money laundering and related conduct. Tanzi was ultimately sentenced to ten years for fraud connected with the corporate collapse.