adidas AG : India Minister : Adidas-Reebok Alleged Financial Irregularity Case Report Likely in 4 Months
06/08/2012| 03:54am US/Eastern
By Romit Guha
MUMBAI--The Serious Fraud Investigation Office will submit its report in about four months in a case in which Adidas AG (ADS.XE) recently alleged financial irregularities by two former executives at its Reebok India operations, a federal minister said Friday.
"We told the SFIO to give the report within four months. Perhaps they might give the report earlier than that," Veerappa Moily, the federal corporate affairs minister, told reporters on the sidelines of a conference on corporate social responsibility.
India's ministry of corporate affairs had asked SFIO, its investigating arm, to look into the case. Earlier last month, German sportswear and equipment maker Adidas filed a criminal complaint against the former chief of its India operations and another former senior employee for alleged financial and commercial irregularities.
The complaint, filed at a police station in the Delhi suburb of Gurgaon, accused the two of theft, fraud and accounting malpractices that resulted in the company taking a charge of INR8.70 billion.
Both executives have denied the charges in previous interviews with Indian media.
Write to Romit Guha at firstname.lastname@example.org