crime

Former Daio Paper chairman to be indicted over dubious loans

10 Comments

Leader paper maker Daio Paper Corp said Friday it intends to file a criminal complaint against former chairman Mototaka Ikawa over 10.68 billion yen in loans which he demanded from seven group companies on 26 occasions from May 2010 to September this year.

Ikawa is the grandson of the company's founder. His father, Takao Ikawa is a company adviser, and his younger brother Takahiro sits on the board of directors. The company dismissed the father and the younger brother on Friday. Ikawa resigned last month.

NHK reported that an in-house investigative panel will demand that Ikawa explain where the money went. Ikawa has repaid 4.75 billion yen, but has not said what he did with the rest.

He reportedly spent the bulk of the money on high living and gambling in Macao.

The panel said that Ikawa would call the heads of the subsidiary companies and tell them how much money to deposit in his personal bank account or the account of a Japanese firm that operates casinos in Las Vegas and Macao, NHK reported.

No collateral was asked for and the board of directors were never informed, the panel said.

Employees were quoted as saying that no one dared questioned the orders of any of the Ikawa family.

© Japan Today

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Employees were quoted as saying that no one dared questioned the orders of any of the Ikawa family.

Feudal Japan lives on in the 21st century...

1 ( +2 / -1 )

Ah, more Japanese company business, and nepotism at that. Olympus stand aside!

1 ( +2 / -1 )

Huge missing piece of information in this article -- Is Daio a publicly traded/owned company? If so, this is worse than Olympus. I mean the fact that someone could get over $140.0 million simply by demanding it is just unbelievable. Are there no controls at all in these companies?

-2 ( +2 / -4 )

With interest rates at a level that does not encourage people to save with a bank many people buy shares to plan for their old age.These vermin directors are robbing people of their future by embezzling the company money.I really have no respect for these people and they dont deserve my respect or sympathy. Bullying dictatorial management style seems to be normal practice.

1 ( +1 / -0 )

Is Daio a publicly traded/owned company?

Yes it is, currently trading at around 600 yen per share.

http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ticker=3880:JP

0 ( +0 / -0 )

which company is next week, olympus last week daio this week.

1 ( +2 / -1 )

Now sing along folks. O L Y M P U S Olympus boooooooooooo

-1 ( +2 / -3 )

These retards running these kind of companies, well, DESERVE everything coming to them, lots of jail time, no more respect nor trust from anybody here in Japan and I guess from all over the world except for Geko?? The dude on that movie, GREED IS GOOD, now I can not remember the name of that movie, but I completely agree with Ms.Greatlegs!

-2 ( +0 / -2 )

an in-house investigative panel will demand that Ikawa explain where the money went.

A mighty huge chunk of it has been thrown across the tables in Las Vegas.

0 ( +0 / -0 )

As the days go by dubious loans have been spreading a lot and it is still not stopped by legal authorities. These types of loan lenders should be stopped before they scam more people. We are facing a huge financial crisis and those people are still daring to make scams online. Best way to avoid being scammed is to ask guidance from the bank. - http://lizloans.com

0 ( +0 / -0 )

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