Supermicro fired staff after probe into $2.5 billion GPUs-to-China smuggling operation

Supermicro has terminated several employees following an investigation into allegations that its executives were involved in a scheme to export $2.5 billion worth of Nvidia GPUs to China, violating US export controls. The US Department of Justice indicted Supermicro co-founder Yih-Shyan "Wally" Liaw, Taiwan-based executive Ruei-Tsang "Steven" Chang, and broker Ting-Wei "Willy" Sun in March, accusing them of conspiring to violate the Export Controls Reform Act, smuggle goods, and defraud the US government.

Supermicro maintains that no current senior management team members had knowledge of the alleged diversion scheme or any actual diversion of restricted products. The investigation revealed that the three indicted individuals "no longer have any relationship with Supermicro," suggesting that Liaw and Chang had been fired. Supermicro also disclosed that the probe resulted in dismissals of staff within sales, technical support, and business development functions for failing to adhere to company policies or the code of conduct.

The company has committed to enhancing its export compliance program and has already implemented some of the recommended changes.