Milton has reportedly vowed to appeal the ruling made by the Stockholm County Administrative Court. He told The Local, a Swedish news site, that so far the appeal has gone in his favor.
The decade-long investigation surrounding Milton’s tax debt alleges Milton earned $1.5 billion in unreported income between 1996 and 1999.
Sweden says he owes $76 million plus interest.
In 1999, Milton made Private Media Group public — the first adult company to be listed on the Nasdaq stock exchange.
Since taking over the family business in 1990 from his father Berth Sr., Milton moved Private to Barcelona and expanded the company into four magazines, DVDs and websites. He also has overseen licensing the company’s name for commercial products, including condoms.