Taiwanese company Foxconn, known as the world’s largest iPhone maker, has announced that it has sold its entire stake in Chinese conglomerate Tsinghua Unigroup, Reuters reported.

It was stated that the operation was initially conducted through Foxconn’s subsidiary in China, Xingwei. It turned out that Xingwei is 99% controlled by Foxconn Industrial Internet Co Ltd, a legal entity registered in China.

Taiwanese officials have just learned that Xingwei owns shares of the Chinese state-owned company Tsinghua Unigroup and requested Foxconn to give up these assets, according to agency sources.

Reuters clarified that the Taiwanese company did not initially seek approval from its government before purchasing shares of the Chinese conglomerate. “Foxconn violated the law governing the island’s relations with Beijing”– said one of the agency’s sources.

A representative of Foxconn announced that it sold the company’s stake to the Chinese company Yantai Haixiu for at least 5.38 billion yuan ($772 million).

The Tsinghua Unigroup conglomerate includes companies important to the Chinese government, such as flash memory manufacturer Yangtze Memory Technologies (YMTC) and mobile processor manufacturer UNISOC Communications.