Adidas is facing allegations of compliance violations in China, with a senior executive in Greater China accused of embezzling millions of euros and taking kickbacks. The sportswear giant has launched an investigation into the matter, following an anonymous letter detailing the accusations. The complaint also includes allegations of nepotism, workplace bullying, and corruption within the company's marketing budget. Share prices of Adidas fell 3.7% following the news. China is a key market for Adidas, as Greater China contributes 15% of the company's sales. Despite a rebound in sales growth in China, Adidas has faced challenges from local competitors and controversies around issues like Xinjiang cotton. The sportswear retailer, known for its celebrity marketing in China, is now under scrutiny as it navigates the fallout from these serious allegations.