Gigabyte Loses $5 Million in Fraud
April 27, 2007 1:57 PM
comment(s) - last by
Regional manager sets up bank loan without company permission
Gigabyte recently made shocking headlines when it announced that it would be
leaving the partnership it had created with long time rival ASUS
. Originally, the plan was to create a joint venture, where the two companies could cooperate on developing and manufacturing new products. Called Gigabyte United, the joint venture would have allowed both companies to share and take advantage of the other's resources.
This week, Gigabyte announced that it had
lost roughly $5 million USD due to an internal scandal
committed by one of its regional managers. Chang Chaosong, factory manager at Ningbo Gigabyte Technology in China, allegedly listed Gigabyte as a guarantor for a bank loan towards a third party loan. By being a guarantor, Gigabyte would be liable to repay the loan if the third party did not repay it.
Unfortunately for Gigabyte, the company or person in question that borrowed the money from the bank did not repay the borrowed money, and Gigabyte was held accountable for the loss. What shocked company officials however, was the fact that Chang did not request company permission before setting up the transaction.
Gigabyte is currently investigating Chang's actions and where and why the transaction was setup in the first place. Chang is no longer with Gigabyte.
This article is over a month old, voting and posting comments is disabled
RE: Regional Manager???
4/30/2007 10:46:01 AM
He obviously had the authority the BANK needed to make this loan. He's the one who's supposed to be in charge to make sure this doesn't happen with people lower on the corporate ladder. It's a case of who watches the watchers.
"I'm an Internet expert too. It's all right to wire the industrial zone only, but there are many problems if other regions of the North are wired." -- North Korean Supreme Commander Kim Jong-il
Gigabyte Calls It Quits on ASUS Alliance
March 25, 2007, 10:47 AM
Google's First Asian Data Centers Now Operational
December 11, 2013, 8:50 AM
IBM to Offer Watson Supercomputer as Cloud Development Platform
November 14, 2013, 12:00 PM
Microsoft May Use Fuel Cells at Rack Level for Greener, Cheaper Data Centers
November 13, 2013, 3:14 PM
Study: Problems with Surgical Robots Going Unreported to the FDA
November 5, 2013, 2:36 PM
Lenovo CEO Shares Bonus with Workers for a Second Year
September 2, 2013, 11:16 AM
Hacking the Gibson: 24 YO Scored Root on Nation's Top Supercomputers
August 28, 2013, 7:14 PM
Most Popular Articles
China's Lunar Rover Enters Orbit, Prepares for Historic Sat. Landing
December 13, 2013, 5:00 PM
China's Moon Rover Lands Safe and Sound, Starts Snapping Pics
December 16, 2013, 1:22 PM
Top Microsoft Graphics Genius Defects to Google
December 17, 2013, 4:27 PM
Report: Fusion Fail? Softbank Wants to Merge Sprint and T-Mobile
December 15, 2013, 6:12 PM
NSA Debates Granting Snowden Amnesty if He Keeps His Mouth Shut
December 16, 2013, 1:17 PM
Latest Blog Posts
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
Global Cyber Espionage Concerns Reveal Growing Cyber Armies
Nov 29, 2013, 11:04 AM
Is The Period Becoming an Expression of Anger?
Nov 26, 2013, 2:02 PM
NSA and Congress -- You Will Never Kill the Constitution, It's an Idea
Nov 10, 2013, 2:00 PM
AT&T Explores $100B+ USD Deal to Acquire Vodafone's European Operations
Nov 4, 2013, 7:34 AM
More Blog Posts
Copyright 2013 DailyTech LLC. -
Terms, Conditions & Privacy Information