ETO'O FACES TAX EVASION CHARGES IN SPAIN

A Spanish public prosecutor has
accused Cameroun's striker Samuel Eto'o of
conspiring to evade 3.5 million euros ($4.4 million) in
taxes owed on income from his image rights when he
was playing for Barcelona between 2006 and 2009.
The Barca and Inter Milan former player, now with
Russian Premier League club, Anzhi Makhachkala, is
accused of four tax offences, each punishable with up
to five years in prison and a fine of as much as 21
million Euros.
The case presented by the prosecutor on June 15 at a
Barcelona court, and which was seen by Reuters
yesterday, asked a judge to open proceedings
against the player before the statute of limitations on
one of the alleged offences expires tomorrow.
Spain recently launched a drive against tax evasion
as it struggles to meet tough European deficit
reduction targets that have meant budget cuts for
hospitals and schools. Eto'o allegedly created two
companies, one in Hungary and another in Spain, and
used them to channel income obtained from ceding
his image rights to Barca and sportswear maker,
Puma, the prosecutor said.
The Hungarian company paid one of the lowest
corporate tax rates in Europe – 10 per cent to 19 per
cent – while the Spanish company paid a reduced
corporate tax rate of 30 per cent to 35 per cent,
instead of the 45 per cent income tax rate, the charge
said.
Eto'o also allegedly used the Spanish company to
deduct personal expenses, such as payments for his
mortgages, furniture and expenses related to his
luxury cars, the complaint added. Eto'o and his club
could not immediately be reached for comment.
The prosecutor also accused Eto'o's former agent,
Jose Maria Mesalles, and the manager of the Spanish
company, Manuel de Jesus Lastre, of the same tax
offences. Eto'o filed a lawsuit against Mesalles at a
Barcelona court last year, accusing him of betraying
his trust and of embezzling money, local media said.
The Cameroun striker signed for Anzhi Makhachkala,
a club from the volatile North Caucasus region and
owned by Russian billionaire, Suleiman Kerimov, last
August, in a record-breaking move that made him the
richest player in the world on an annual salary of 20
million euros.





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