Canada’s ethics watchdog is investigating claims that Nike Canada and a gold mining company benefitted from forced labour operations of Uyghur people in China.
Probes into the matter stem from complaints filed by several human rights groups, according to the BBC.
Global sports and fashion brand Nike said that it no longer has ties to the companies accused of using Uyghur forced labour, while Dynasty Gold claims these allegations rose after it had left the region.
The investigation is the first conducted by the Canadian Ombudsperson for Responsible Enterprise (CORE) since it launched its complaint team in 2021.
CORE alleges that Nike Canada had supply relationships with several Chinese companies linked to forced labour, according to a report published by the think tank Australian Strategic Policy Institute.
The report also suggests that Dynasty Gold was a beneficiary of forced labour at a mine in which it held a majority interest.
Uyghurs are an ethnic Muslim group, situated in Xinjiang in the west of China.
A 2022 United Nations report found China had committed “serious human rights violations” against Uyghurs, a claim that Beijing denies.