An investigation on behalf of investors of adidas AG (ADR) (OTCMKTS:ADDYY) shares over potential securities laws violations by adidas and certain of its directors and officers in connection with certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of adidas AG (ADR) (OTCMKTS:ADDYY) concerning whether a series of statements by adidas AG (regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

On September 26, 2017, news outlets reported that the FBI arrested Adidas director of global sports marketing for basketball, James Gatto, on charges of fraud for conspiring with coaches and others to bribe high school athletes to play for colleges sponsored by Adidas. According to investigators, Gatto engineered a $100,000 payment to the family of an Indiana high school player to ensure that he agreed to play for the University of Louisville and participated in a $150,000 bribe to convince another athlete to attend an Adidas-sponsored school in Florida.

Shares of adidas AG (ADR) (OTCMKTS:ADDYY) declined to $109.91 per share on September 27, 2017.