Arsenal have been caught up in a fraud case with their Chinese partner and car-maker BYD.
The North-London club has come under controversy, as a fraud case has been detected involving their Chinese partners BYD. The company has alleged that the person who signed the sponsorship deal with the club wasn’t authorised to do so.
Arsenal signed a contract with BYD to become the club’s official car and bus partner, but the person who authorised the deal is now under investigation by Shanghai Police.
In their official statement, BYD states that the person was never the employee of the company, let alone being authorised to complete deals on their behalf.
Arsenal have issued the statement on their website, stating that the matter is under investigation. BYD, meanwhile, have made public the person’s identity in their official statement, and also stated that he used the name of “Shanghai Yuhong Culture” to complete the deal for BYD with Arsenal.
Arsenal insisted that “senior BYD officials” were involved in the deal.
“BYD has informed Arsenal that they believe they have been the victim of a fraud in relation to various advertising agreements. This includes our partnership with BYD which was formally launched by both parties at an event at Emirates Stadium on 8th May,” the club posted on its official website.
“We are investigating the situation and discussing it with senior level BYD representatives who were involved in the launch of the partnership. We will make no further comments on this matter,” Arsenal concluded.
BYD also stated that the seal being used to sign the contract is forged, and it has been duly reported to the police.