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Kelly Osbourne leaves 'Fashion Police'

Lupita's Oscars dress returned; pearls may have been fake

'Fashion Police' co-host Kelly Osbourne is leaving the show "to pursue other opportunities," E! confirmed. Osbourne had threatened to quit, after five years, after co-host Giuliana Rancic made some racially insensitive comments about singer Zendaya's Oscar dreadlocks. (Rancic apologized after Zendaya called her out on it.) [People]

While the world debated whether #TheDress was black and blue or white and gold, sales of merchandise on the site featuring the dress have gone up 347%, reports British retailer Roman Originals. [Los Angeles Times]

The dress itself is no fashion wonder, says Los Angeles Times fashion critic Booth Moore, but the debate shows how "clothing (like cute animals, apparently) is a thread that unites us as humans." [Los Angeles Times]

The stolen, pearl-encrusted gown Lupita Nyong'o wore to the Oscars was mysteriously returned to the hotel from which it was filched. An anonymous caller told TMZ where it could be found and maintained that the pearls had turned out to be fake. The investigation continues. [Los Angeles Times]

Celebrity fashion stylist Rachel Zoe is launching a quarterly subscription box service, Box of Style. [WWD]

Gap has hired former C. Wonder executive Wendi Goldman to lead its design team. [Racked]

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