One or more employees of a Coca-Cola (KO) bottling plant in Shanghai have been detained by police in Shanghai on corruption and bribery accusations, according to reports.
A Coca-Cola spokesman said on Sunday that a former employee at its Shanghai Shenmei Beverage & Food Co bottling plant was being held by police in a corruption investigation, Reuters reported.
The New York Times reported that Coke spokesman Kenneth Kaerhoeg said a female middle manager at the plant was detained by the Shanghai police this year, and subsequently dismissed by the bottling company.
Xinhua, the Chinese media organ, reported Monday that Shanghai police said “several” employees of that Coke bottling plant were under investigation for allegedly taking bribes, and that “some” people had been handed over to local authorities.
The Coke developments could make international companies more nervous about dealing with China, especially on top of the arrest of several Rio Tinto (RTP) employees previously on bribery charges. But corruption is widely believed to be rampant in China, and some might welcome a crackdown on bribery in the country.
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