Chiara Ferragni Acquitted in Pandorogate Fraud Case, But Scandal Leaves Lasting Legacy

MILAN, 20 January 2026 – Italian social media influencer Chiara Ferragni has been acquitted of aggravated fraud charges related to the high-profile “Pandorogate” charity cake scandal. A Milan court dismissed the case on 14 January, ruling that prosecutors had not proven the fraud was “aggravated” and that the withdrawal of civil complaints by consumer groups extinguished the basis for a simple fraud prosecution. The verdict closes a criminal chapter for the 38-year-old entrepreneur but caps a saga that has already cost her millions, damaged her reputation, and prompted Italy to enact stricter laws for digital creators.

The Pandorogate Scandal: A Charity Campaign Unravels

The case stemmed from a 2022 holiday campaign where Ferragni promoted a limited-edition “Pink Christmas” pandoro cake produced by Italian confectioner Balocco. Marketing materials and Ferragni’s social media posts suggested that purchasing the specially branded cake, priced at around €9 compared to a standard €4 pandoro, would support the Regina Margherita children’s hospital in Turin. Investigations later revealed that Balocco had made a single, fixed donation of €50,000 to the hospital months before the product launch, and no portion of the sales revenue was donated. Ferragni’s companies reportedly earned over €1 million from the promotional partnership.

A similar pattern was alleged in a separate promotion for branded Easter eggs in 2021-2022, where marketing implied support for a children’s autism charity. The Italian Competition Authority (AGCM) found these campaigns constituted misleading commercial practices.

Legal and Financial Fallout: Fines, Trials, and Acquittal

Throughout the proceedings, Ferragni maintained she acted in “good faith,” calling the controversy a “communication error.” The scandal coincided with the breakdown of her marriage to rapper Fedez in early 2024 and reportedly caused significant financial losses for her holding company, Fenice, including the closure of retail stores.

The “Ferragni Law”: A Regulatory Legacy

Perhaps the most enduring impact of Pandorogate is legislative. In 2024, the Italian government passed the so-called “Ferragni Law” (formally DDL Beneficenza) to regulate influencer marketing, particularly campaigns involving charitable claims. Key provisions require clear labelling on product packaging specifying the charity beneficiary, the purpose, and the exact amount or percentage of the price being donated. Influencers with over one million followers must also notify the AGCM of charity campaign details and confirm donations are made.

Frequently Asked Questions

What was Chiara Ferragni accused of?

Ferragni was accused of aggravated fraud for allegedly misleading consumers into believing their purchases of a branded pandoro cake and Easter eggs would result in charitable donations, when in reality the donations were fixed sums unrelated to sales, and she profited significantly from the campaigns.

Why was she acquitted?

The court found prosecutors did not prove the “aggravated” element of the fraud charge. It also ruled that the crime of simple fraud could not proceed because the civil complaints from consumer associations had been withdrawn following Ferragni’s financial settlements.

What is the Ferragni Law?

It is an Italian law enacted in 2024 that imposes strict transparency requirements on influencers with large followings who promote products linked to charitable causes. It mandates clear disclosure on packaging and reporting to the competition authority to prevent misleading advertising.

How has the scandal affected Ferragni’s career?

The scandal led to a loss of brand partnerships, a reported decline of over 1.5 million Instagram followers, significant financial losses for her companies, and widespread reputational damage. While acquitted criminally, the regulatory fines and public backlash have had a substantial impact.