PARIS — Beleaguered French sportswear label Regina Rubens, which filed for the equivalent of Chapter 11 debt protection two years ago, has been ordered to pay a fine of $282,222, or 250,000 euros, for accounting irregularities.
This story first appeared in the July 22, 2003 issue of WWD. Subscribe Today.
The Commission des Operations de Bourse, or COB, the French stock market regulator, said last week it had judged Rubens guilty of falsifying accounts and forecasts for the firm between 1998 and March 2000. In 1999, for example, Rubens reported revenue 29 percent higher than her actual sales, according to a statement from the COB. Although the decision dates to March 4, it was only made public on Friday.
Reached Monday, Rubens said she had filed an appeal. She suggested the irregularities were the work of her former administrative and financial director, Severine Chapellier, who in the decision also was fined $181,186, or 160,000 euros, according to COB.
“‘I’m responsible, but not guilty,” said Rubens. “I should probably have been more vigilant.” All dollar figures have been converted from the euro at current exchange.
LVMH Moët Hennessy Louis Vuitton, which was among the entities that took a stake in the fashion firm in 1999, was one of the investors that filed a suit against Rubens on the accounting irregularities. It could not be learned Monday whether LVMH’s LV Capital investment arm had sold its 36.4 percent stake in Rubens.