Scottish Daily Mail

CRITICS SLAM ‘SHOCKED’ BOOHOO BILLIONAIR­E

- By Matt Oliver

THE billionair­e founder of Boohoo faced a backlash after he claimed to be ‘shocked and appalled’ by the sweatshop conditions in his Leicester supplier factories.

MPs said Mahmud Kamani must have known there was illegally low pay in his supply chain because he had been working in the city’s rag trade for 25 years.

The comments came after an independen­t report by Alison Levitt QC revealed ‘excessive’ hours, life-threatenin­g conditions and illegally low pay across Boohoo’s supply chain.

Philip Dunne MP, chairman of t he House of Commons environmen­tal audit committee, said reports from 2010 had revealed the exploitati­on in Leicester.

Kamani insisted he had been ‘shocked and appalled’ by the allegation­s, adding: ‘We’re not making things up.’

He told MPs: ‘In the last 14 years we’ve got more right than wrong. I’m determined to fix things that have gone wrong.

Our business has been growing 50-100pc per year, and processes do fall away. What we are guilty of, if anything, is we didn’t put processes in fast enough.

But Dunne said: ‘It seems extraordin­ary the board can say they are shocked and appalled by what emerged.

‘It has been common practice and common knowledge that many Leicester factories have not been cohering to UK labour law.’ Last night Boohoo shares closed at 301.9p, valuing the business at 3.8bn.

The Levitt report revealed that Boohoo knew how bad the situation was last December but Kamani dismissed concerns at the time.

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