By  on March 19, 2010

MILAN — Italy’s ministry of economic development has granted state-supported administration to Mariella Burani Fashion Group. Minister Claudio Scajola has appointed three administrators to manage the group, which produces and distributes collections for La Perla and Vivienne Westwood, among others.Earlier this month, Giambattista Valli terminated his contract with MBFG, deciding to take production in-house.

Last month, the group, which has debts of more than $600 million, said it was going to be liquidated and its entire board resigned, following the bankruptcy of MBFG’s parent company, Burani Designer Holding, that same month. BDH is also under investigation for fiscal fraud, and in January, MBFG’s founder, Walter Burani, resigned from his post as chairman.

MBFG follows IT Holding SpA in its government-backed bankruptcy protection. Similarly, in February 2009, the state appointed three administrators at IT Holding, which controls the Gianfranco Ferré and Malo brands and manufacturing arm Ittierre SpA.

load comments
blog comments powered by Disqus