Italian fashion house Versace complied with European Union regulations on textile production, it said on Wednesday following allegations by environmental campaign group Greenpeace that it had found traces of harmful chemicals in the brand’s children’s clothing. “Gianni Versace operates in compliance with current laws regarding textile products,” the company said in a statement, in which it said it was responding to “the news spread through the Internet and print by Greenpeace”. Versace said it “continues to search for raw materials and eco-sustainable technology solutions, with even stricter requirements than those set out under the current laws, renewing its commitment to the sustainability of the planet.” Greenpeace said in a report issued on Monday just before Milan Fashion Week that it had found traces of waterway pollutants in children’s clothing and shoes made by several luxury brands, including Versace.