Goodyear Defrauded by Chinese Nationals

Two Chinese nationals accused of accepting kickback payments while buying natural rubber for Akron, Ohio-based Goodyear Tire and Rubber Co. have been arrested.

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CLEVELAND (AP) — Two Chinese nationals accused of accepting kickback payments while buying natural rubber for Akron, Ohio-based Goodyear Tire and Rubber Co. have been arrested.

The FBI says in a statement issued Monday that Xin Franco Fan and Rex Xu Yu were arrested Friday for honest services wire fraud. The two are in custody and have detention hearings in federal court in Youngstown on Thursday.

Affidavits say Goodyear contacted the FBI on Feb. 1 about the two men, who worked for a Singapore-based subsidiary that acquires $1 billion a year in rubber for the company. The affidavit says Goodyear began an internal investigation after being told last summer about the kickback scheme. It's unclear how much money was involved.

The men's attorneys haven't responded to messages seeking comment.

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