Sale of Milan, Elliott accuses Blue Skye of extortion and forgery

The Blue Skye group had sued the American fund, of which it had been a partner in the Rossoneri club, at the time of the club’s sale to Redbird. Singer’s reaction arrives

The red-black dispute between the Luxembourg fund Blue Skye and Paul Singer’s Elliott Management is reignited. The subject of the dispute, in fact, dates back to August 2022 and the sale of Milan by Elliott to RedBird Capital Partners, the current owner of the club. At the time, Blue Skye, a minority shareholder of Il Diavolo, had criticized the move with a complaint, which later gave rise to an investigation by Milan prosecutors, calling it “opaque” and reporting that it had suffered damage “for just over 100 million euros”. Elliott has always firmly rejected the allegations: “We view the frivolous and vexatious litigation brought against us as nothing more than an attempt to extract value to which Blue Skye is not entitled.” The civil case brought by Blue Skye in Milan ended in a stalemate, but the criminal investigation is still underway.

the accusation

Now, however, Singer’s fund has taken a step further: in addition to bouncing off the recriminations of Luxembourg society, it has formally denounced them. The charges brought before the judges of the microstate are serious: extortion, fraudulent declarations and offenses relating to anti-money laundering legislation. According to Elliott, the legal complaints dating back to 2022 actually constituted the threat instrument of an extortion attempt against him by Blue Skye and its directors Salvatore Cerchione, Gianluca D’Avanzo and Giovanni Caslini. All with the aim of obtaining financial concessions superior to their contractual rights. Not only that: in addition to calling the accusations false and slanderous, the American fund believes that some of the documents used by the former partners in their civil case were obtained illegally, in contravention of anti-money laundering rules. Caslini himself would have illegally entered the IT systems of the subsidiary Elliott Rossoneri Champion, appropriating the account statements.