May have used suppliers offering indequate working conditions (Il Sole 24 Ore Radiocor) - Milan, 17 Jul - The Italian competition authority (AGCM) said that has launched an investigation against the luxury goods groups Armani and Dior for alleged "unfair commercial practices." According to the watchdog "in some cases" the companies may have used suppliers employing workers who may have received "inadequate wages".

In addition, the workers may have worked "hours in excess of the legal limits and in inadequate health and safety conditions, in contrast to the boasted levels of production excellence." ACGM added that as a result of an investigation carried out by the public prosecutor's office in Milan, it has opened investigation proceedings against some companies of the Armani Group (Giorgio Armani SpA e G.A. Operations SpA), and separate investigation proceedings against some companies of the Dior group (Christian Dior Couture SA, Christian Dior Italia Srl and Manufactures Dior Srl) "for possible unlawful conducts in the promotion and sale of clothes' items and accessories, in violation of the provisions of the Consumer Code." "In both cases, the companies may have issued untrue statements about their ethics and social responsibility, in particular with regard to working conditions and compliance with the law by their suppliers," the watchdog commented.

On July 16, officials of the AGCM, with the support of the antitrust unit of the Italian financial police carried out inspections at the premises of the companies Giorgio Armani SpA and G.A. Operations SpA as well as Christian Dior Italia Srl, it said.

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(RADIOCOR) 17-07-24 19:07:58 (0650) 5 NNNN