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A Milanese Court placed Loro Piana under Judicial Administration for subcontracting production to suppliers that allegedly exploited workers, making the lvmh-owned cashmere brand the latest fashion house to be caught up in a series of investigations into labour rights violations.
The court said Loro Piana gave to make clothes, including jackets, in the Evergreen Fashion Group, owned by a Chinese company.
“Making such a clothing made in a labor context,” according to the ruling seen during financial times.
Their plains A court administration was placed in the court to answer the shortcomings of its supply chain, the ruling shows. The penalty means an administrator designated by the Court to keep the brand operation.
The brand is not under the criminal investigation and will be paid the order if the company follows the legal requirements before the 12-month deadline provided in court. Loro Piana refuses to comment on the rule.
Loro Piana was bought by Lvmh, the World’s Largest Luxury Conglomerate, in 2013. Frédéric Arnault, Son of Lvmh Founder Bernard Arnault, was Designated chief executive at Milan-based house in March.
It is the fifth fashion company placed under the court administration about Italian labor issues in the last 18 months, in a scandal with a form of luxury image of the country.
Milanese prosecutions investigate the industry’s supply chain for several years after the media investigations in many cases of many Lomby-based and Tuscany companies.
Luxury brands subcontractractect production to determine the raised demand during the pandememic-era luxury boom.
LVMH Dior, Armani and Alviero Martini have restrictions placed by them to lift before the 12-month deadline. Valentino, partially owned by other precious conglomerate kering, also subjected to similar order in May.
