Governance structure
Company with an Audit and Supervisory CommitteeWhen one company holds most of the voting rights, its wishes are more likely to prevail in management. How the interests of minority shareholders are protected is a key issue.
The company determined that a material weakness requiring disclosure existed in its internal control over financial reporting and stated that the internal control was ineffective. It will proceed with a fundamental review and strengthening of its governance and internal control systems, as well as the implementation of measures to prevent recurrence.
| Item | Details |
|---|---|
| Corporate Governance Structure | Company with an Audit and Supervisory Committee |
| Committee | Audit and Supervisory Committee (percentage of outside members: not disclosed) |
| Controlling shareholder | The existence of a largest shareholder is stated, but its name and voting rights ratio are not disclosed |
| Changes this time | The company determined that a material weakness requiring disclosure existed in its internal control over financial reporting and stated that the internal control was ineffective. It will proceed with a fundamental review and strengthening of its governance and internal control systems, as well as the implementation of measures to prevent recurrence. |
Items this document does not state (4)
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.Trade receivables from bullion transactions remained uncollected, owing to deficiencies in verifying the actual status of major shareholders, conducting advance checks on counterparties, performing credit investigations after transactions commenced, and providing information to the Board of Directors. The deficiencies were recognized again after the fiscal year-end, making it necessary to reconsider and review the measures to prevent recurrence. As a result, the deficiencies could not be remediated by the fiscal year-end.