INDIA: Reebok "will cooperate" with Indian authorities
Adidas-owned sportswear brand Reebok has said it will cooperate with authorities over the alleged fraud at its Indian business.
According to the Business Standard newspaper, Reebok India has refused to provide detailed documents to the Institute of Chartered Accounts of India (ICAI) regarding alleged irregularities in the business.
The reports added that Reebok told the accounting regulator internal investigations were under way and it could not provide any further details.
However, a spokesperson for Reebok told just-style: "If we are contacted by any authorities we will cooperate with them, as we have done in the past."
The news comes after Reebok India in May submitted a criminal complaint against Adidas India managing director Subhinder Singh Prem and COO Vishnu Bhagat over the irregularities in the business in May.
The two executives were accused of stealing products, setting up secret warehouses and fixing accounts, leading the company to lose INR8.7bn (US$155.3m), according to reports in the Indian press.
Two months earlier, the two executives left the company amid rumours of financial misrepresentations.
Weak consumer spending, difficulties in securing credit, competition from China and the Far East resulted in factory closures and subsequent layoffs in 2012. But ramping up labour and sustainability s...
Singapore-based apparel company Ocean Sky is set to be acquired by Luen Thai Holdings for US$55m. ...
Yue Yuen, the world's largest manufacturer of branded athletic and casual footwear, has seen its full-year profit jump 12.5% helped by higher sales and more stable material prices....
The most read stories on just-style this week include clothing and children's footwear boosting UK retail sales in November, a look at where the Tazreen fire leaves Bangladesh, and Reebok announcing i...
- Capacity building key to Myanmar momentum
- Apparel buyers point to potential in Africa
- Sourcing in Africa: Foreign investment flows in
- Sourcing in Africa: An alternative to Asia?
- Three tipping points for RFID in fashion
- VF Corp lifts outlook despite Q1 profit fall
- SOURCING: Global sourcing snapshots launch
- Garment group reiterates labour rights commitment
- Wal-Mart silent on Rana Plaza lawsuit
- Coats launches “innovative” reflective thread