IPod maker freezes reporters' assets

IPod maker Foxconn is seeking damages from journalists after allegations of staff mistreatment

The company which makes Apple's iPod media players has persuaded a court to freeze the bank accounts of two journalists who alleged that it mistreated workers in China, it was claimed yesterday. 

Legal observers have criticised the manufacturer, Foxconn, for attacking the journalists directly, rather than suing the newspaper which published the reports. 

Property, cars and bank accounts belonging to a reporter and an editor on the China Business News were frozen by the courts in mid-July after they were sued by Foxconn. 

But the journalists chose not to make a public announcement about this while negotiations continued, the newspaper reported yesterday.

A local subsidiary of the manufacturer, Hongfujin Precision Industry Shenzhen, is seeking $3.8m in damages from the journalists, a sum equivalent to approximately 800 years' salary for each of them, the newspaper reported.

Foxconn, also known as Hon Hai Precision Industry, is a Taiwan-based contract electronics manufacturer which builds notebook PCs and other consumer electronics products for many well-known brand name vendors, including Apple.

Foxconn makes Sony's PlayStation 2 console, Hewlett Packard PCs and some products in Apple's iPod series. The company reported revenue of $28bn last year. 

Foxconn appears to have made no public statement about the legal action, and did not respond to vnunet.com's request for comment.