A SENIOR member of staff in a Limerick company has been dismissed from his position following a probe into allegedly fraudulent claims for hundreds of thousands of euro in overtime payments.
Up to seven other members of staff at the Raheen-based multinational are also suspected of involvement in an alleged scam, which may have been going on for five years.
A spokesperson for Flextronics, one of the world’s biggest logistics providers for the IT industry, told the Limerick Leader that an internal review is ongoing, but could not comment on the specifics of the case.
Private investigators and accountants were drafted in after company chiefs became suspicious about overtime bills. A source told the Leader up to €400,000 may have gone missing with amounts of up to €200 a week in some instances being fraudulently claimed in overtime.
It is understood that a long-serving member of staff has been dismissed and up to eight staff in total are implicated. A number were brought in for investigative meetings last week.
In a statement to the Limerick Leader, a spokesperson for Flextronics said: “As this is an ongoing internal investigation, it would be inappropriate to provide comment. However, please be assured that we take great pride in our commitment to operating with the highest standards of ethics and integrity.
"Our Code of Business Conduct and Ethics weaves that commitment into principles, standards, and responsibilities that help guide our behavior and decision-making. Any violations of our Code of Conduct are not tolerated. We believe that our commitment to these principals is the cornerstone of the many successes we realise every day.”
Raheen is in the operational area of Roxboro Road garda station but it is understood that gardai have not yet been asked to investigate the alleged fraud.
“Sometimes we will not be called until after an internal investigation is complete and sometimes we will still not be called even after a company investigation takes place. They might prefer to keep it in-house. We cannot act unless we receive a complaint,” said a garda spokesman.
Established in 1990, the Nasdaq listed company is worth some $26 billion, with a presence in more than 30 countries, four continents, and has a global workforce of 200,000.
Its Limerick workforce has been cut back in recent years, and the majority of their manufacturing capacity is located in low cost regions such as Brazil, China, Hungary, India, Malaysia, and Mexico, Poland and Ukraine.
Under the leadership of its current CEO Mike McNamara, its revenues doubled from $15bn in 2006 to over $30bn in 2008.