LUXEMBOURG/MILAN: Investigators have undertaken investigations in Luxembourg at the headquarters of the holding companies that control the Italian club.

The raids came just as Milan regained their international status after qualifying for the Champions League semi-finals against archrivals Inter on Tuesday.

Companies targeted by police were the headquarters of the Luxembourg company Project Redblack, one of the two holding companies owning Milan. The warrant was issued by Pascale Claude, investigating judge of the Luxembourg District Court.

The judge was responding to a request from the Milan prosecutors Giovani Polizzi and Giovanna Cavalleri, who have opened a European investigation. The judicial police seized numerous documents related, in particular, to bank accounts.

The court seeks all the necessary information regarding “the sale or purchase of AC Milan shares in August 2022 and the management of the amounts obtained as a result of this sale.” It also recovered documents relating to the second holding company that owns the club, Rossoneri Sport Investment, also from Luxembourg.

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These police records take place as a result of complaints filed by minority shareholders of Milan, such as Blue Skye Financial Partners, who feel cheated after the sale of the club in August 2022 by the US fund Elliott Management, considering it “opaque”.

For its part, the Milan prosecutor’s office has opened an investigation for possible “fraudulent bankruptcy”, “abuse of corporate assets” and would have charged the global general director of Elliott Management, Elliot Greenberg.

Elliott Management’s response

Given the information that appeared today, Elliott specified“Following the announcement of the sale of AC Milan to RedBird (in August 2022), BlueSkye launched a series of frivolous and vexatious lawsuits in Luxembourg and now in New York that Elliott and his co-investor Arena Investors consider nothing more than an attempt to extract value, to which BlueSkye is not entitled. BlueSkye owns nothing more than a small indirect stake in AC Milan, the vast majority of which is capital controlled and contributed by Arena Investors, who also strongly and publicly condemn BlueSkye’s actions. The transaction with RedBird fully respects this interest, all necessary corporate approvals have been obtained at every stage of the transaction, and BlueSkye will receive all monies to which it is entitled. Elliott and Arena Investors, of course,

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