MILAN (Reuters), a luxury goods company in France Kering According to three sources, the agreement was for almost 187million euros (207 million dollars) to resolve a tax dispute with Italy. It revolved around Bottega Veneta fashion label.

The Milan prosecutor spoke out about a tax probe into a Swiss business that was part of an international luxury goods company. He said the Swiss company was allegedly operating in Italy to distribute and produce an Italian brand.

Kering could not be reached immediately for comment.

Kering’s Swiss-based subsidiary Luxury goods International was responsible for the collection of revenue at the Italian leather goods factory. However, Italian prosecutors as well as tax authorities claimed that the tax should have been paid instead in Switzerland.

Luxury Goods International paid an amount of 186.8 Million Euros to resolve the tax matter. The case covered fiscal years 2012-2019.

The sources also said that the criminal investigation by Milan prosecutors into tax evasion was still underway.

Kering, which paid 1.25 billion Euros to settle an identical dispute relating to Gucci’s top fashion brand, reached an agreement in 2003 with Italian tax authorities.

In the past, Milan’s prosecutors have investigated U.S. tech companies like Apple (NASDAQ), Amazon (NASDAQ) and Facebook (NASDAQ) for tax violations. This allowed Italy to collect several billion Euros in taxes and fines.

In the past, once an agreement was reached between the tax agencies and companies, the prosecution closed criminal investigations with either dismissal or settlement.

($1 = 0.9044 euros)