ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / NEWS

Italian Fashion Influencer Faces Over $1 Million Fine for Fake Christmas Cake Charity Claims; What Really Happened

She reportedly made consumers believe that buying an expensive pandoro cake would contribute to funding medical equipment for a children’s hospital in Turin.
PUBLISHED DEC 22, 2023
Chiara Ferragni attends the Lancome X Louvre photocall as part of Paris Fashion Week | Photo by Dominique Charriau | WireImage | Getty Images
Chiara Ferragni attends the Lancome X Louvre photocall as part of Paris Fashion Week | Photo by Dominique Charriau | WireImage | Getty Images

Italy's renowned fashion influencer, Chiara Ferragni, is facing allegations of profiting from charity initiatives involving the sale of branded Christmas cakes and Easter eggs. Recently, the Italian antitrust authority imposed a fine of over €1 million ($1.10 million) on Ferragni, per Wanted in Rome. The fine was a consequence of misleading consumers into believing that their purchase of an expensive pandoro cake would contribute to funding medical equipment for a children's hospital in Turin.


 
 
 
 
 
View this post on Instagram
 
 
 
 
 
 
 
 
 
 
 

A post shared by Chiara Ferragni ✨ (@chiaraferragni)


 

The situation regarding the Ferragni-branded pandoro might escalate into a criminal matter, as reported by news agency ANSA. The Milan prosecutor's office is reportedly considering opening a file on the issue. The pandoro in question, designed by Ferragni with pink icing sugar, was sold in Italy last year for €9 ($9.90), more than double the regular retail price of unbranded cakes produced by the confectioner Balocco.

The competition authority also imposed a fine of €420,000 ($4,61,882.40) on Balocco. This was based on the finding that Balocco had made a one-time donation of €50,000 ($54,986.00) to the hospital several months before the pandoro was released. Furthermore, the authority discovered that two companies controlled by Ferragni received promotional fees totaling around €1 million ($1.10 million). Surprisingly, none of this sum was directed to the children's hospital.

Journalist Selvaggia Lucarelli brought this case to light. In response to the controversy, Ferragni, who boasts nearly 30 million followers on Instagram, posted a heartfelt video on December 17, 2023. In the video, she apologized for the pandoro incident, acknowledging a "communication error" but asserting that it was a "mistake made in good faith."


 
 
 
 
 
View this post on Instagram
 
 
 
 
 
 
 
 
 
 
 

A post shared by Chiara Ferragni ✨ (@chiaraferragni)


 

Chiara Ferragni has pledged to donate €1 million ($1.10) to the Regina Margherita Children's Hospital in Turin and promised to keep her business and charity efforts entirely separate going forward. The 36-year-old social media entrepreneur plans to appeal the authority ruling and the perceived "disproportionate and unjust" fine.

However, more challenges emerged for Ferragni when journalist Selvaggia Lucarelli investigated a similar case involving Ferragni-branded Easter eggs supporting the association I Bambini delle Fate which assists children with autism. Lucarelli's report suggested that Ferragni profited significantly from the Easter egg sales produced by Dolci Preziosi, far exceeding the amount donated to the charitable cause. In response to the scrutiny, Ferragni promptly removed Instagram posts promoting the Easter eggs. Fortunately, screenshots had been taken the day before.

image Source: Chiara Ferragni seen wearing black sunnies, a white Dior silk dress, white Lady Dior bag and black lace heels at Dior during the Haute Couture Fall/Winter 2023/2024 as part of Paris Fashion Week | Photo by Jeremy Moeller | Getty Images
Chiara Ferragni in black sunnies, a white Dior silk dress at Dior during the Haute Couture Fall/Winter 2023/2024 | Photo by Jeremy Moeller | Getty Images

Franco Cannillo, the owner of Dolci Preziosi, clarified that there was no direct link between egg sales and the donation to I Bambini delle Fate. The company contributed €36,000 ($39,592.80) over two years to the charitable cause. When asked about Ferragni's compensation for endorsing the initiative, Cannillo recalled payments of approximately €500,000 ($5,49,900.00) in 2021 and around €700,000 ($7,69,860) in the second year. However, negotiations halted when Ferragni requested an exorbitant sum, resulting in no further agreements.

Ferragni's husband, rapper Fedez, responded to the pandoro controversy expressed frustration, particularly with Italian Prime Minister Giorgia Meloni, who made a thinly veiled criticism of Ferragni, saying, "The real models to follow are not the influencers who make lots of money by wearing clothes and showing bags or even promoting expensive cakes that make people believe they are charitable."

Image Source: Chiara Ferragni and Fedez are seen at Gucci Ancora during Milan Fashion week| Photo by Stefania M. D'Alessandro | Getty Images for Gucci
Chiara Ferragni and Fedez are seen at Gucci Ancora during Milan Fashion Week | Photo by Stefania M. D'Alessandro | Getty Images for Gucci

Fedez also highlighted their track record, recalling significant donations at the beginning of the COVID-19 pandemic. He claimed, "My wife and I raised funds of €4 million ($4.40 million), and in 10 days we built a 150-bed intensive care unit that saved lives," in a post on Instagram.

However, the Lombardy region later issued a statement clarifying that the number of beds created in the intensive care unit, thanks to donations collected by Ferragni and Fedez, amounted to 14, not 150. Fedez also criticized journalist Selvaggia Lucarelli, questioning Lucarelli's contributions to charity, saying, "Spoiler, jack s**t." In response, Lucarelli pointed out that thanks to her efforts, a children's hospital had just received a donation of €1million ($1.10 million).

MORE ON MARKET REALIST
Early 1980s was a special era as several rare coins were minted then.
8 hours ago
According to reports, the fisherman from Puerto Princesa found the item over a decade ago while he was fishing in the sea.
13 hours ago
For decades, the painting was hung in a shabby frame in the living room.
16 hours ago
The asteroid was discovered by Italian astronomer Annibale de Gasparis on March 17, 1852, who named it after the Greek Goddess of the soul.
17 hours ago
In the video, another friend can be heard gasping and noting how she thought that Maddie was 'exaggerating.'
20 hours ago
The man from New Jersey who was looking to save a few bucks, didn't know what luck had in store for him.
1 day ago
In 2004, Ashley Revell from London won $270,000 in one of the most stunning events in gambling history.
1 day ago
One of the rarest Rolex watches in the world was kept in a safety deposit for decades, unworn.
1 day ago
The "Rolling Stones" singer said leaving a part of the inheritance might "do some good in the world."
1 day ago
Inititally, reports claimed that it sold for $1.8 million which changed as the the dust cleared up.
1 day ago
The number was so large that it didn't even fit on a single line on the document.
1 day ago
Her new properties were estimated to be worth around $50 million.
2 days ago
He sued the lottery company for breach of contract, gross negligence and the infliction of emotional distress among other claims.
2 days ago
As of 2024, the iconic West Coast rapper is worth well over $160 million.
2 days ago
Taylor never knew he had won because the slot machine had malfunctioned.
2 days ago
"People were super welcoming and everyone wanted to have a coffee with me," she talked about the residents.
3 days ago
“It’s challenging, being an inventor,” Catherine Hettinger said.
3 days ago
The Facebook listing from is a contender for the weirdest rent agreement in history.
3 days ago
The "Bullet Train" actor made an unusual arrangement with the old widower.
3 days ago
He found the gold coin from the "world's most valuable shipwreck."
4 days ago