MILAN — After two years of government-backed bankruptcy protection, a court in Reggio Emilia, Italy, has filed bankruptcy proceedings for Mariella Burani Fashion Group. This ends the state-appointed administrators’ efforts to sell the fashion group and safeguard its almost 200 employees.
According to a legal source, the judge lamented a lack of information and data from the three commissioners, expected on a quarterly basis. In addition, no concrete offer to buy the group’s assets was ever presented. The source said the commissioners are going to appeal the decision, which, they claim, halts advanced discussions with a potential buyer.
The bankruptcy protection has had its bumps, as lawyer Giampiero Martini in March suspended himself from his role as administrator in the procedure, following house arrests that were not in connection with this post. According to a legal source, Martini was victim of an extortion and illegally used funds that he was managing in another case of bankruptcy.
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Carmen Regina Silvestri succeeded the other two commissioners, Francesco Ruscigno and Rossella Strippoli. The three continued in their efforts to rescue the group, which included its production hub in Italy’s Cavriago, and five stores, such as one in Rome’s tony Via Borgognona shopping street. However, binding offers never materialized.
MBFG produces the Mariella Burani brand and collections for Ungaro and Matthew Williamson under licensing agreements.