Italian fashion influencer Chiara Ferragni has been cleared of fraud charges in a high-profile Milan trial concerning charity-linked promotions for Christmas cake and Easter eggs. The social media star, who faced a potential prison sentence, declared "the nightmare is over" following her acquittal.
The Allegations and the Acquittal
The 38-year-old influencer stood trial over two separate fundraising initiatives. The first involved a 2022 Christmas campaign for pandoro cake, produced by Balocco, marketed as supporting Turin's Regina Margherita children's hospital. Prosecutors alleged consumers were misled into paying €9—triple the standard price—believing their purchase would benefit the hospital directly. However, the hospital received only a single, pre-arranged €50,000 donation from Balocco.
The second case involved Easter egg campaigns in 2021 and 2022, which allegedly led buyers to think they were supporting a children's charity. Ferragni later settled this aspect by paying approximately €1.2 million to the charity in 2024. Despite prosecutors seeking a sentence of one year and eight months for aggravated fraud, the court found her not guilty.
A Two-Year 'Nightmare' Ends
Speaking to reporters outside the court on Wednesday, Ferragni expressed profound relief. "I am very happy to take control of my life and get my life back," she said. "It has been a very difficult two years. I had faith in justice, and justice has been done." Her lawyer, Giuseppe Iannaccone, stated that Ferragni had always maintained she acted in "good faith" throughout the promotions.
The legal proceedings began after Italy's anti-trust authority fined Ferragni €1 million and Balocco €420,000 in early 2024 for unfair commercial practices related to the pandoro cake campaign.
Reputational Damage and Regulatory Fallout
The scandal significantly impacted Ferragni's once-unassailable brand. Prior to the allegations, she had amassed an estimated €40 million fortune by promoting a glamorous lifestyle and luxury brands to her vast following. The controversy cost her around 200,000 followers and several major commercial partners, including Coca-Cola. Although she still commands over 28 million Instagram followers, her influence is considered diminished.
The fiasco triggered a national debate in Italy about influencer accountability and transparency, leading to a government crackdown. New rules now require influencers with more than 500,000 followers to register with the Italian Communications Regulatory Authority (AGCOM) and adhere to strict transparency regulations regarding promoted content and commercial partnerships.
