Impact on Business Results and Financial Position from Legal Violations and Other Misconduct by Officers and Employees
First written in FY2016. 4 of 8 entries say "Materialised", first in FY2024-Q2. Latest entry: 2026-08-13.
The whole theme swung hardest in 2025: 6 of 34 companies on the "Worse" side.
9 other companies' latest entry also says "Materialised".
- 2026-08-13MaterialisedEarnings
「Settlement payment – 591」
A settlement payment of ¥591 million relating to the agreement among the parties concerning the improper transactions was recorded as an extraordinary loss for the first quarter of the current consolidated cumulative period. - FY2026MaterialisedAnnual report
「An agreement to finally resolve this matter was reached on 23 April 2026.」
An agreement was reached among the relevant parties toward a final resolution of the improper transactions, including circular transactions by employees. Under the agreement, the company expects to record an extraordinary loss of ¥592 million in the following fiscal year, indicating that the impact of the compliance risk will continue. - 2026-05-14MitigatedEarningsSuggests it is closing out
「The parties mutually confirmed that, in relation to this matter, no claims or obligations exist between them other than those stipulated in this agreement.」
The agreement establishes a framework for resolving the claims and obligations among the parties concerning the improper transactions. However, the Company still expects to record an extraordinary loss of ¥592 million. - FY2025RestatedAnnual report
「We are currently discussing this matter with the relevant parties. Depending on the circumstances, however, the advances paid and advances received may affect the Company's financial position and operating results.」
The company reiterates that, concerning circular transactions and other matters since August 2018, it reversed sales and cost of sales for transactions whose existence could not be confirmed, recorded advances paid of ¥1,346 million and advances received of ¥1,355 million, and continues discussions with the relevant parties. - FY2024MaterialisedAnnual report
「Based on the findings in the Investigation Report received from the special investigation committee on 15 January 2024 concerning suspected improper transactions, including circular transactions conducted by our employees since August 2018, involving circular flows of fictitious sales between several business partners and the Company, we have reversed sales and cost of sales relating to transactions whose existence could not be confirmed.」
The improper transactions were identified specifically as circular transactions and fictitious sales, leading to the reversal of sales and cost of sales for transactions conducted since August 2018 based on the Investigation Report, and the recognition of advances paid of ¥1,346 million and advances received of ¥1,355 million. - FY2024-Q2MaterialisedAnnual report
「After it was discovered that improper transactions had been conducted at one of our business locations, we established a special investigation committee and conducted an investigation. On 15 January 2024, we received the committee's Investigation Report and disclosed an overview of its findings.」
Improper transactions by an employee were confirmed to have occurred, leading to an investigation by a special investigation committee and receipt of its report. Payments totaling ¥1,346 million and receipts totaling ¥1,355 million were also recorded for transactions whose existence could not be confirmed. - FY2019RestatedAnnual report
「However, if a compliance issue, including a violation of laws or regulations by an individual officer or employee, occurs, the Group's operating results and financial position may be affected.」
While maintaining a compliance committee, a code of conduct, conduct guidelines and an internal reporting hotline, the company continues to identify the risk of violations of laws and regulations by officers and employees. - FY2016First statedAnnual report
「However, if a compliance issue, including a violation of laws or regulations by an individual officer or employee, occurs, the Group's operating results and financial position may be affected.」
While maintaining a compliance committee, a code of conduct, conduct guidelines and an internal reporting hotline, the company identifies the possibility of violations as a risk.