LVMH unit under court administration in Italy


Under scrutiny: A Dior boutique in Milan, Italy. The Milan court has ordered Manufactures Dior SRL, fully owned by Christian Dior Italia SRL, be placed under judicial administration for one year. — Bloomberg

MILAN: An Italian subsidiary of French luxury giant LVMH that makes Dior-branded handbags has been placed under court administration after a probe alleged it had sub-contracted work to Chinese-owned firms that mistreated workers.

This is the third such decision this year by the Milan court in charge of preemptive measures, which in April named a commissioner to run a company owned by Giorgio Armani due to accusations the fashion group was “culpably failing” to adequately oversee its suppliers.

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