Bernie Ecclestone, head of Formula 1 until 2017, was sentenced to 17 months in prison (suspended if he does not reoffend) and then ordered to pay 653 million pounds (around 756 million euros at the current exchange rate) to the British treasury. Having hidden 400 million pounds (460 million euros) from the state treasury. The 92-year-old British billionaire pleaded guilty to fraud charges in a London court on Thursday, October 12, and investigations began against him in July 2015. He was accused of tax evasion by making false statements between July 2013 and October 2016.
In this way, Ecclestone reached an agreement with the Treasury to pay £653 million resulting from unpaid taxes over the last 18 years, and was also sentenced to 17 months in prison, suspended for the next two years. According to the court, the former chairman and chief executive of the Formula One management and administration failed to open a trust fund in Singapore which consisted of a bank account worth around £400 million. He also lied to the UK Treasury when it questioned him about the matter at a meeting in 2015. Ecclestone, who initially denied the allegations, assured at the time that he had only set up a trust for the benefit of his three daughters Deborah and Tamara and Petra. .
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The prosecutor also asserts that the answers given by Ecclestone seven years ago were “wrong” and “could lead to errors,” while clarifying that the defendant was unaware of his position and could not give a clear answer. “Mr Ecclestone did not know exactly how the ownership of these accounts was structured. Therefore, I didn’t know whether I would have to pay taxes, interest, or penalties associated with transfers between accounts. Mr Ecclestone admits it was a mistake to answer the questions as it could lead to HMRC (the UK Treasury) halting investigations into his affairs. “Now he accepts that taxes would have to be paid for this,” said the public prosecutor.
Ecclestone was president of Formula 1, the organization that controlled Formula 1, until 2017, a few months after Liberty Media took over control of the sport. Last year, Forbes magazine ranked him as the 12th richest man in the UK, with an estimated fortune of €3 billion, according to its 2022 list.