Creditors of designer womenswear brand Michael Lo Sordo are set to meet with the Australian Fashion Chamber (AFC) to vet claims of judgement debts totalling over $110,000.
The claims were detailed in a letter to the industry group.
Lo Sordo has been subjected to a litany of headlines this year for several court cases relating to unpaid debts with cutting services, fabric suppliers, pattern makers and accounting firms.
Several creditors, led by Viole Pty Ltd, have formed an action group to meet with the AFC to discuss their financial concerns.
In a letter to the AFC, of which Lo Sordo is a member, the collective of creditors has expressed concerns around supplier debts.
"While the world admonishes the behaviour of major brands and the exploitation of the use of labour from poorer countries, it appears that the behaviour of local designers and the treatment of local suppliers are of little concern."
The letter lists several judgement debts against Lo Sordo and claims additional suppliers are owed money.
The AFC, which confirmed it will meet with the creditors, issued the following statement to Ragtrader:
"The AFC was formed to support and develop Australia's design talent in order to both raise the profile of Australian fashion and to assist individual members to build better businesses."