Adidas says it has started an investigation into allegations of “compliance violations” in China, a key market for its sportswear.
Chinese state media Jiemian reported last week that local executives had been accused of embezzling “millions of euros” in an unsigned letter written by whistleblowers calling themselves employees of Adidas China. The letter was widely publicized online. Claudia Lange, head of media relations at the apparel giant, told CNN on Monday that it had received an anonymous letter on June 7 “indicating potential compliance violations in China.
The senior manager was also accused of “nepotism” and “workplace bullying,” including isolating some employees and forcing them to leave, the whistleblowers’ reportedly said. People who followed her instructions were promoted, they added. The complaint also alleged that one of the manager’s subordinates had received “millions … from suppliers and physical items such as real estate.
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