Athletic apparel company Adidas has initiated an investigation into allegations of “compliance violations” in China following the receipt of an anonymous letter earlier this month. The letter accused local executives of embezzling “millions of euros,” as reported by the Wall Street Journal and Bloomberg. Adidas confirmed the receipt of the anonymous June 7 letter, which highlighted potential “compliance violations” in China. The company is currently investigating the matter in collaboration with external legal counsel.
According to Chinese state media outlet Jiemian, an anonymous group of whistleblowers claiming to be employees of Adidas China sent the letter to the company’s German headquarters. The letter, which accused senior executives and staff members of embezzlement, receiving bribes from suppliers, and engaging in kickbacks from celebrities and advertising agencies, was also circulated widely on social media. The allegations included workplace bullying and nepotism by a senior executive.
