Hon Hai Group (鴻海集團) chairman Terry Gou (郭台銘) has insisted that an alleged bribery case within the group be aggressively pursued and he is cooperating with police on both sides of the Taiwan Strait on the matter, a source from Hon Hai said yesterday.
The source said that Gou has asked James Lee (李金明), a general manager in charge of ethics and business violations within the group, to look into the situation.
Next Magazine reported recently that Lee was informed several months ago that executives on the group’s Surface Mount Technology (SMT) committee had allegedly solicited bribes from suppliers on a long-term basis.
The informers apparently attached suspicious accounting records to support their accusations and Lee immediately reported the matter to Gou.
According to the source, an internal investigation could be completed within one or two weeks.
The Hon Hai Group, parent of Foxconn Technology Group (富士康科技集團), has set up several committees to integrate new technologies within its various businesses.
The SMT committee was authorized to sign contracts for equipment used by the company’s business groups and allegedly took bribes from those suppliers.
A preliminary internal probe has found that the case implicates only Hon Hai procurement executives, not senior management.
The source said Gou has strict ethical requirements for procurement executives because of the size of the purchases made by the company.
In a written statement issued yesterday, Hon Hai said that its supply chain involving Taiwanese businesses in China, its personnel in China and its business development are running as normal and have not been affected by the allegations.
The statement said that based on Gou’s instructions, the company will not only try to find out who was involved and why the bribery occurred, but will also examine its internal practices in order to prevent the same thing from happening again.
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has approved a capital budget of US$31.28 billion for production expansion to meet long-term development needs during the artificial intelligence (AI) boom. The company’s board meeting yesterday approved the capital appropriation plan for purposes such as the installation of advanced technology capacity and fab construction, the world’s largest contract chipmaker said in a statement. At an earnings conference last month, TSMC forecast that its capital expenditure for this year would be at the higher end of the US$52 billion to US$56 billion range it forecast in January in response to robust demand for 5G, AI and
PORTFOLIO REBALANCING: The adjustments in three global equity indices reflect rising investor appetite for semiconductor and artificial intelligence-related stocks Taiwan’s weighting in major global equity indices compiled by MSCI Inc is to rise modestly following the latest quarterly review, underscoring the market’s expanding role in emerging-market portfolios, as global investors continue to favor the nation’s technology sector. Taiwan’s weighting in the MSCI Emerging Markets Index is to increase by 0.30 percentage points to 23.76 percent, after the changes take effect at the close of the May 29 session. Its weighting in the MSCI All-Country Asia ex-Japan Index is to rise 0.37 percentage points to 27.16 percent, while that in the MSCI All Country World Index is to edge up slightly to
NEW MARKET: The partnership opens up India to the Dutch company, which already has a strong hold in the semiconductor market of South Korea, Taiwan and China ASML Holding NV entered into a partnership agreement with Tata Electronics Pvt Ltd aimed at ramping up India’s goal to develop domestic chip-manufacturing capabilities. The Dutch company’s technology would help power Tata Electronics’ planned 300 millimeter (mm) semiconductor foundry in Gujarat, according to a joint statement from the two companies on Saturday. The signing of a memorandum of understanding coincides with a visit by Indian Prime Minister Narendra Modi to the Netherlands, which is looking to deepen bilateral relations with New Delhi. ASML, whose top customers include Taiwan Semiconductor Manufacturing Co (台積電) and Samsung Electronics Co, makes lithography machines that can print
The Hsinchu County Government’s Labor Affairs Department yesterday said that it has received a plan from cosmetics brand Taiwan Shiseido Co (台灣資生堂) detailing mass layoffs at its plant in Hukou Township (湖口). While the labor authorities did not disclose the number of employees to be laid off, Japanese news media earlier in the day reported that the closure of the company’s factory in Hukou would result in 170 employees losing their jobs. Shiseido followed the law by reporting its layoff plan, the department said, adding that authorities would closely monitor negotiations between the management and affected employees and step in if any
RSS