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By
AFP
Published
Jan 9, 2012
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Italian fashion exec arrested for bankruptcy fraud

By
AFP
Published
Jan 9, 2012

MILAN - The former director of Italian fashion group IT Holding -- the company that once owned the Gianfranco Ferre' brand -- has been arrested for bankruptcy fraud, the tax police said in a statement on Monday.

IT Holding
Gianfranco Ferre - Foto Reuters

Tonino Perna was arrested on a court order from Isernia in the Molise region of southern Italy and is accused of "damages to the assets of the group estimated at around 61 million euros ($78 million)," the statement said.

The tax police said they were planning to seize all of Perna's assets.

The highly-indebted IT Holding sought protection from creditors in February 2009 to avoid bankruptcy. The group's most prestigious asset -- the Gianfranco Ferre' brand -- has since been purchased by the Dubai-based Paris Group.

Subsidiaries including Ittierre, which produces accessories for major fashion brands, and cashmere-maker Malo have also been sold off.

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