UNDER THE TABLE: Top managers have reportedly been selling defective iPhone casings from a plant in China, which are then repaired and resold to wholesalers

Taipei Times
Date: Dec 19, 2019
By: Natasha Li  /  Staff reporter

Hon Hai Precision Industry Co (鴻海精密), the biggest assembler of Apple Inc’s iPhones, yesterday said it has launched an internal investigation following reports of fraud at its plant in Zhengzhou, China.

Hon Hai, known internationally as Foxconn Technology Group (富士康科技集團), said in a statement that, based on company policy, it would not comment on market rumors about its clients or products.

The company has begun assessing its standard operating procedures while authorities investigate the matter, Hon Hai said, adding that it would not indulge employees implicated in such acts.

The statement came after the Chinese-language online Mirror Media reported on Tuesday that top managers at Hon Hai have been involved in misappropriating assets since at least 2016, by selling defective iPhone casings, originally meant for destruction, under the table.   [FULL  STORY]