Taiwanese prosecutors detained two Super Micro Computer Inc. employees following a raid of the US company’s local offices earlier this week over alleged shipments of Nvidia Corp. Prosecutors are investigating four Super Micro employees for falsifying documents and breach of trust, a person familiar with the matter said. The Keelung District Court agreed to the prosecutors’ request to detain two of them, while the other two were released on bail but restricted from leaving Taiwan, the person added, declining to be named as details are private. The person said a manager at Super Micro distributor Albatron Technology Co. Read More: Taiwan Raids Super Micro in Widening China Chip Smuggling Probe
Super Micro did not immediately respond to a request for comment outside of regular office hours. On Monday, after the raids, it said “we continue to cooperate with law enforcement and government officials in Taiwan and other jurisdictions.”
Super Micro shares tumbled 8% in the US on the news of the raids, though they recouped some of those losses Tuesday. Chief Telecom said Monday that it is cooperating with the investigation, adding that operations remain normal with no material impact on its finances or business. Taipei is now considering criminalizing exports themselves, which would give local prosecutors more tools to go after the illicit trade. Read More: Taiwan Eyes Curbs on AI Chip Sales to China to Align With US
Key Takeaways
- Prosecutors are investigating four Super Micro employees for falsifying documents and breach of trust, a person familiar with the matter said.
- The Keelung District Court agreed to the prosecutors’ request to detain two of them, while the other two were released on bail but restricted from leaving Taiwan, the person added, declining to be named as details are private.
- The person said a manager at Super Micro distributor Albatron Technology Co.
- Albatron confirmed the detention of a manager in a filing on Wednesday.
- was also questioned earlier this week, the person said.
Insights & Analysis
- The Keelung District Court agreed to the prosecutors’ request to detain two of them, while the other two were released on bail but restricted from leaving Taiwan, the person added, declining to be named as details are private.
- The person said a manager at Super Micro distributor Albatron Technology Co.
- A court official on Wednesday confirmed that three individuals have been detained but declined to provide additional details.