China says Foxconn employees probed for bribery, embezzlement

BEIJING (Reuters) -China's government said on Friday that employees of Taiwan's Foxconn, the world's largest iPhone assembler, are being investigated for suspected taking of bribes and embezzlement, after Taiwan reported their detention.

Taiwan's government said this week that four Foxconn employees had been detained in China under "quite strange" circumstances in Zhengzhou, home to a major Foxconn plant assembling Apple's iPhones, on suspicion of the equivalent of "breach of trust".

China's Taiwan Affairs Office, in a statement to Reuters, said the Foxconn employees are suspected of crimes including taking bribes and embezzlement and the investigation is ongoing. It did not state how many employees were being investigated.

"The relevant departments are handling the case strictly in accordance with the law and are protecting their legal rights in accordance with the law," it added, without elaborating.

Foxconn, formally known as Hon Hai Precision Industry, declined to comment.

Taiwan's China policymaking Mainland Affairs Council said this week that Foxconn had stated the company had "suffered no losses and that the four employees had done nothing to harm the company's interests".

The case may be connected to corruption and abuse of power by a small number of Chinese security officials, the council added, without giving details.

Democratically governed Taiwan, which China claims as its own territory, has repeatedly warned its citizens to be aware of the potential dangers of visiting the country.

In June, Taiwan's government raised its travel warning for China, telling its citizens not to go unless absolutely necessary, following a threat from Beijing to execute those deemed "diehard" Taiwan independence supporters.

Taiwanese businesses have invested billions of dollars in China since the country began landmark economic reforms four decades ago, drawn by a common culture and language and much lower costs.

(Reporting by Beijing newsroom; Writing by Ben Blanchard; Editing by Franklin Paul and William Mallard)