Prada could be in big trouble. The Italian fashion house is reportedly being investigated for alleged tax evasion for failing to claim taxable income, this according to Bloomberg

The investigation, which started a few days ago, follows a tip from Italy's tax agency about a settlement it reached with the brand.

This past December, Prada Holding, co-founded by Miuccia Prada and Patrizio Bertelli, agreed to move back its assets previously located abroad—specifically in the Netherlands and Luxemborg—to Italy. It also said it would "pay backdated tax" after discussions with the country's authorities.

Still, Prada's lawyers have said that they "are not aware of there being an investigation."

“In any case, the new rules which are expected to enter into force regarding voluntary disclosure should be considered applicable to the present case, thereby leading to decriminalization,” the lawyers said.

Let's hope Miuccia Prada isn't hit with a 20-month suspended prison sentence as fellow Italian designers Domenico Dolce and Stefano Gabbana were.

[via Bloomberg]