Government Angered by 30 Million Followers' 'False Donations'... Drafts Prevention Bill
"Donation Made When Buying Cake"... Actual Donation Amount 0 Won
A global fashion influencer with about 30 million followers has sparked controversy after it was revealed that she engaged in 'fake donations' while promoting cakes. The Italian government has taken steps to prevent such fraud.
On the 25th (local time), the Italian government approved the 'Ferragni Law' through a cabinet meeting. The Ferragni Law requires clear disclosure of the donation purpose and the portion donated to the recipient charity.
In other words, the law aims to ensure transparency about who receives the donations, for what purpose, and how much is donated when influencers promote products under the pretext of donations. Violations can result in fines up to 50,000 euros (approximately 72 million KRW), and repeated violations can lead to suspension of online activities for up to one year.
The bill was triggered by Chiara Ferragni, an Italian-born fashion blogger who dominated the 2010s and graduated from law school at the age of 1987. She is currently married to Italian rapper FEDEZ, raising two children, and owns her brand 'Chiara Ferragni.'
Last year, she promoted cakes from the confectionery company Balocco, claiming that proceeds would be donated to children with cancer. At that time, Ferragni sold the cakes at about twice the market price.
However, the donations were only what Balocco had delivered to the children's hospital before the cake launch, and Ferragni received 1 million euros (about 1.449 billion KRW) as payment for promoting the cakes without making any direct donations.
Authorities fined Ferragni 1,075,000 euros (about 1.55 billion KRW) and Balocco 420,000 euros (about 600 million KRW) in December last year for deceiving consumers.
Facing ongoing criticism, Ferragni posted an apology video on social media. She said, "There was a communication problem," and pledged to donate 1 million euros (1.44 billion KRW) to the children's hospital. However, she called the Italian government's fines excessive and expressed her intention to appeal immediately.
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Nevertheless, judicial authorities judged that Ferragni habitually deceived consumers. The Milan prosecutor's office is currently investigating fraud allegations related to previous donation-based sales, including Easter egg-shaped chocolates and dolls resembling her.
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