UK: Human rights group threatens legal action over alleged forced labour if authorities greenlight stock listing of Chinese fast-fashion retailer Shein
UK: Human rights group threatens legal action over alleged forced labour if authorities greenlight stock listing of Chinese fast-fashion retailer Shein
Stop Uyghur Genocide will seek a judicial review of the Financial Conduct Authority if it greenlights Shein IPO on the London Stock Exchange.
cross-posted from: https://lemmy.sdf.org/post/29029612
UK campaign group Stop Uyghur Genocide (SUG) will seek a judicial review of the Financial Conduct Authority's (FCA) decision if it greenlights the initial public offering (IPO) of ultra-fast fashion giant Shein on the London Stock Exchange (LSE).
Shein is poised to pursue a listing on the London Stock Exchange in the upcoming half-year contingent to receiving regulatory consent.
The UK activist group alleges that Shein’s supply chain is tainted by cotton produced through Uyghur forced labour in China.
It asserts the FCA should reject the listing application as so-called use of forced labour in supply chains is unlawful under the Modern Slavery Act, so it says Shein would have to explain company profits in light of proceeds of crime laws.
The FCA has refrained from commenting on speculative listings, while Shein did not respond to Just Style’s request for comment but last month it maintained that it enforces a strict prohibition of forced labour within its global supply chain.
SUG has imposed a two-week ultimatum on the FCA to address its sixth formal communication in under seven months, which also marks the start of the judicial review process.
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