Bribes and real estate?
Adidas whistleblowers in China suspect millions in corruption
16.06.2024, 16:38
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A letter is published on a Chinese platform, the authors of which introduce themselves as employees of the Adidas Group in China. They make serious allegations against high-ranking managers. There is talk of bribes from external service providers and millions in cash from suppliers.
According to a report in the Financial Times (FT), Adidas is investigating allegations of corruption against high-ranking employees in China. The trigger is said to be a letter from employees of Adidas China. In it, employees of the sporting goods manufacturer are accused by name of having embezzled several million euros, people familiar with the matter told the newspaper. The letter, whose anonymous authors describe themselves as employees of the company, is said to have been temporarily found on the Chinese online platform Xiaohongshu, writes the FT.
Among those accused is a senior manager who is responsible for the sporting goods giant’s marketing budget in the country, which, according to the document, amounts to 250 million euros per year. Bribes are said to have been paid to external service providers commissioned by the German company. Another high-ranking Adidas manager is accused of having received “millions in cash from suppliers and material assets such as real estate”.
The Financial Times quotes Adidas insiders as saying that the authors of the letter did not provide any “hard evidence” of corruption, but were well informed about internal and confidential matters.
Adidas did not respond to a request for comment from Dow Jones Newswires at short notice. The company confirmed to the British newspaper that it had received a letter on June 7 alerting it to “possible compliance violations in China.” Adidas is committed to legal regulations and ethical standards in all markets and is now intensively examining the matter with external legal advisors.