ID :
43552
Sat, 01/31/2009 - 22:49
Auther :
Shortlink :
https://oananews.org//node/43552
The shortlink copeid
SESC to recommend slapping 120 mil. yen fine on Bic Camera chief
+
TOKYO, Jan. 31 Kyodo -
The government's securities industry watchdog has decided to recommend that the
Financial Services Agency fine Bic Camera Inc. Chairman Ryuji Arai 120 million
yen for selling his stockholdings in the company in public stock offerings in
2008, which was implemented based on false financial documents, sources
familiar with the matter said Saturday.
According to a probe by the Securities and Exchange Surveillance Commission,
Arai sold about 6 billion yen worth of his shareholdings in Bic Camera in June
2008 when the operator of home appliance discount stores raised fresh capital
of about 11.7 billion yen through public stock offerings, the sources said.
It will be the first time the SESC has recommended a fine for a company's head
in connection with events related to false financial statements.
The fine will also be the highest amount for an individual.
The SESC also plans to recommend that the FSA impose a fine of around 250
million yen on Bic Camera, the sources said.
According to the SESC's probe, Bic Camera sold its head office building in
Tokyo's Ikebukuro district and other properties to a special purpose company in
August 2002, and continued using them by paying rent, the sources said.
Bic Camera received a dividend of about 4.9 billion yen in October 2007 when it
repurchased the properties, and reported the proceeds as profit in the earnings
report for the half-year period through February 2008 and in other documents,
according to the sources.
The SESC judged that the proceeds should not have been reported as profit
partly because the appraised value of the properties had been inflated,
according to the sources.
In January this year, Bic Camera said it had corrected its past earnings
reports and booked a group net loss of 2.1 billion yen for the year to last
Aug. 31, instead of 4.1 billion yen in profit as earlier reported.
The Tokyo Stock Exchange has designated Bic Camera stock as a supervision issue
in connection with the latest correction to its earnings reports.
The TSE will delist the stock if the accounting is found to be fraudulent.
==Kyodo
2009-01-31 22:14:31
TOKYO, Jan. 31 Kyodo -
The government's securities industry watchdog has decided to recommend that the
Financial Services Agency fine Bic Camera Inc. Chairman Ryuji Arai 120 million
yen for selling his stockholdings in the company in public stock offerings in
2008, which was implemented based on false financial documents, sources
familiar with the matter said Saturday.
According to a probe by the Securities and Exchange Surveillance Commission,
Arai sold about 6 billion yen worth of his shareholdings in Bic Camera in June
2008 when the operator of home appliance discount stores raised fresh capital
of about 11.7 billion yen through public stock offerings, the sources said.
It will be the first time the SESC has recommended a fine for a company's head
in connection with events related to false financial statements.
The fine will also be the highest amount for an individual.
The SESC also plans to recommend that the FSA impose a fine of around 250
million yen on Bic Camera, the sources said.
According to the SESC's probe, Bic Camera sold its head office building in
Tokyo's Ikebukuro district and other properties to a special purpose company in
August 2002, and continued using them by paying rent, the sources said.
Bic Camera received a dividend of about 4.9 billion yen in October 2007 when it
repurchased the properties, and reported the proceeds as profit in the earnings
report for the half-year period through February 2008 and in other documents,
according to the sources.
The SESC judged that the proceeds should not have been reported as profit
partly because the appraised value of the properties had been inflated,
according to the sources.
In January this year, Bic Camera said it had corrected its past earnings
reports and booked a group net loss of 2.1 billion yen for the year to last
Aug. 31, instead of 4.1 billion yen in profit as earlier reported.
The Tokyo Stock Exchange has designated Bic Camera stock as a supervision issue
in connection with the latest correction to its earnings reports.
The TSE will delist the stock if the accounting is found to be fraudulent.
==Kyodo
2009-01-31 22:14:31
