Taiwan bribes raids put Foxconn back in spotlight
Print Edition
Taiwan authorities launched islandwide raids to investigate allegations that some former managers at technology giant Foxconn had solicited bribes from suppliers, prosecutors and the company said yesterday.
More than a dozen people, including former employees, have been questioned and at least one suspect detained after searches at 19 locations on Tuesday, including suppliers’ residences and offices.
The investigation is the latest setback for the company, which has come under the spotlight after suicides, labor unrest and the use of underage interns at its plants on the Chinese mainland in recent years.
The “integrity of our employees and suppliers is something we take very seriously,” the company said. “The discovery that a small group of employees and suppliers violated our code of conduct is very disappointing.”
The allegations surfaced after Taiwan media reported last year that a manager at Foxconn had been detained by police in the southern mainland city of Shenzhen. The Taiwan manager allegedly solicited and accepted bribes from suppliers in exchange for buying their machines and equipment for the company, reports said.
Taiwan’s Apple Daily newspaper said yesterday that a key suspect had allegedly pocketed around NT$100 million (US$3.33 million) in kickbacks from suppliers by using his top position in a procurement committee that buys up to NT$50 billion of equipment a year.
In its latest statement, the company said the alleged violations were limited to the procurement of consumables and accessory equipment.
Foxconn, also known as Hon Hai in Taiwan, is the world’s largest maker of computer components and employs about a million workers across China.
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