Adidas accused of massive tax evasion in Russia

RT.com
19 Sep 2022, 20:15 GMT+10

The German sportswear company reportedly didn?t pay fired staff promised compensation after leaving the country

German sportswear giant Adidas failed to pay 10 billion rubles ($166 million) in taxes in Russia after the company announced plans to quit the country in March, a number of Russian media outlets reported on Monday, citing the Mash Telegram channel.

The non-payment was reportedly revealed by Alexander Khaminsky, the head of the Center for Law Enforcement in Moscow Region, who examined Adidas' financial records. According to Khaminsky, the company's Russian subsidiary transferred its stock to local suppliers shortly after it announced its exit plan.

The Mash Telegram channel claims that the corporation initiated mass layoffs and its former employees received just one fixed payment instead of five that had been promised.

Khaminsky reportedly filed complaints with local authorities and asked Russian Prime Minister Mikhail Mishustin to look into the situation.

Adidas halted the operation of its stores and e-commerce site in Russia in early March following similar decisions taken by other athletic-wear makers like Puma and Nike. Back then, the company said it would continue to pay employees in Russia and "take future business decisions and action as needed." It also suspended its partnership with the Russian Football Union.

Later, Adidas said its decision to leave Russia had reduced its revenues by more than €100 million during the second quarter.

For more stories on economy & finance visit RT's business section

(RT.com)

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Iraq Sun.

More Information

25 ℃

Fair in Baghdad

International

Section

Negotiations successful in swapping five British held by Russia

LONDON, England: The non-profit organization Presidium Network has announced that five British prisoners of war captured in Ukraine have been ...

Malaysia to give Myanmar a hard time in upcoming ASEAN meeting after death of kids

KUALA LUMPUR, Malaysia - Southeast Asian nations must decide whether a five-point plan to end the violence in Myanmar is ...

Large number of illegal Bangladeshis arrested in neighboring Indian state

NEW DELHI, India - The Indian state of Tripura has decided to form a special investigation team (SIT) of local ...

US seeks lower truck emissions, transition to electric

WASHINGTON D.C.: After Congress approved new initiatives to speed the adoption of zero-emission vehicles, the U.S. Environmental Protection Agency (EPA) ...

Cyclone roars through Canada with 80 mph winds, damage called heavy

HALIFAX, Canada: Cyclone Fiona struck northeast Canada this weekend, with reports of houses being washed into the ocean, roofs torn ...

Royals reveal details of Queen Elizabeth II's final resting place

LONDON (CNN), 24 September 2022 - Buckingham Palace has released a photograph of Queen Elizabeth II's final resting place within ...

Arab

Section