Intel CEO Lip-Bu Tan told employees Wednesday that the company had acted ethically when it hired a former executive from rival Taiwan Semiconductor Manufacturing Co.

TSMC sued the executive , Wei-Jen Lo , on Tuesday. It alleged that Lo violated a nondisclosure agreement by joining Intel as a vice president after his retirement from the Taiwanese company.

In a message to employees Wednesday morning, Tan defended the hiring and said the company stands behind its principles.

“Based on everything we know today, we see no merit to the allegations involving Wei-Jen, and he continues to have our full support,” Tan told employees in the memo, reviewed by The Oregonian/OregonLive. He said Lo will work in Intel’s manufacturing group and its packaging business.

Intel confirmed Lo’s hiring in

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