December 8, 2012 / 1:12 AM / 7 years ago

Success Apparel is supplier Wal-Mart dismissed after fire: BBG

Piles of clothes are seen alongside sewing machines in the Tazreen Fashions garment factory, where 112 workers died in a devastating fire last month, in Savar November 30, 2012. REUTERS/Andrew Biraj

(Reuters) - New York-based Success Apparel is the garment maker Wal-Mart Stores Inc (WMT.N) dismissed after a factory in Bangladesh burned down last month, killing 112 people, Bloomberg News reported on Friday, citing a person with knowledge of the matter.

Wal-Mart, the world’s largest retailer, said on November 26 it had ended its relationship with an unnamed supplier that allowed goods to be made at a factory that was not authorized to produce its merchandise and that had been sub-contracted by a supplier without its permission.

A representative for Success Apparel could not immediately be reached for comment, but the Bloomberg report said the company claimed it did not know its clothes were being made at the factory.

According to Bloomberg, Success said it placed an order with Simco, a Wal-Mart-approved supplier, which in turn subcontracted 7 percent of its order to Tuba Group, the owner of the factory.

A Wal-Mart spokesman declined to comment on the Bloomberg report.

Reporting by Phil Wahba in New York; Editing by Bob Burgdorfer

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