An audit report that Deloitte produced in May 2024 highlighted alleged financial misconducts worth in the region of 81.6 million euros raising doubts about the management of troubled Italian paper company Pro-Gest’sfunds (see here a previous post by BeBeez). The firm went into default last year on 450 million euros of bonds, 200 million of which received the warranty of Carlyle. In January 2025, the US fund gained access to a settlement crisis procedure that independent expert Giampaolo Provaggi is handling. Therefore, creditors cannot take legal action against the company for one year. Deloitte’s report says that the Zago Family misused the proceeds of the issuance for lending money without charging interest to friend and paying 1.4 million for a yacht. The report also identified 16 transactions that broken the financial covenants of the debt agreement with Carlyle and 29 episodes of inappropriate use of the company’s cash. The report says that the Zago Family moved 12.5 million of the company’s money to AMG, a real estate company that they own, and that between 2021 and 2024 spent 0.53 million for renting private aircraft and the maintenance of the yacht. Angelo Rodolfi, Pro-Gest chairman, denied such claims. Rodolfi, Fabio Trabucchi, Francesco Zago (ceo), and Valentina Zago are part of the company’s board. Pro-Gest is reportedly holding talks with Carlyle and the unsecured bondholders for restructuring its debt.
Gruppo Cipriani received 2.5 million euros from Solution Bank for the refurbishment of Harry’s Bar and Locanda Cirpiani (see here a previous post by BeBeez). Arrigo Cipriani is the chairman of Gruppo Cipriani which has sales of 9.7 million, an ebitda of 1.9 million and net debts of 2.7 million. In 2012, the company received the support of Blue Skye Investment Group, a turnaround fund that acquired 16% of the business and poured 6 million in the restructuring plan.
