Posted February 08, 2018 11:00:15Today we have another story about how to save yourself and your family the pain of an auto parts company that is ripping off your family’s savings.
A Koi auto body parts supplier, which is owned by a Chinese family, recently threatened to sue a family for more than $300,000 in back taxes and interest, according to The New York Times.
Koi is the second Chinese company to come under fire for the abuse it inflicts on small businesses and families.
The first was the Kao family, which has been sued for more that $2.5 billion for using its factories to undercut competitors.
The second company is the Koei auto parts manufacturer that was recently sued for allegedly abusing its workers and forcing them to work on unsafe vehicles.
Both Koeis are now in the middle of a criminal investigation into their practices.
Koei Auto Parts in North America is owned and operated by the family of Kao.
In 2018, the family filed a lawsuit in California alleging KoeI was “defrauding” them, and in November 2017, the company settled the case.
The company denied any wrongdoing.
The company, which sells parts for vehicles and other vehicles, says it employs about 4,000 people.
The New Jersey company said in a statement that it was not aware of any of the Koesi allegations and “has not been approached by the law firm representing the family.”
Koi AutoParts in China was founded in 2016 and has been operating in China since 2014.
Its headquarters are in Shenzhen, and its manufacturing facilities are in Chongqing, the capital of China’s Hebei province.
In 2020, the Kaos were purchased by an unidentified private Chinese company for $300 million.
Kao has faced scrutiny in the U.S. since its inception.
In May 2017, a federal jury in Michigan found the company liable for violating the Fair Labor Standards Act (FLSA) by exploiting workers by paying them below the minimum wage.
The Kaos filed a class action lawsuit against the company, alleging that they were subjected to “abusive working conditions and threats to sue” for complaining about the abuses.
The lawsuit alleges that the company had “a history of forcing workers to work long hours without any benefits,” “abuses” their retirement savings, and “repeatedly falsified its records to conceal its true financial condition.”
Kao is owned in part by a private Chinese investor and the company has been heavily criticized for using the Chinese government as a front for bribery.
The Justice Department is also investigating the company.
The story is part of Next Big Futures, a series that examines the next big story of the year, from technology to education to politics and beyond.