SBI Securities, a major online securities company, received an administrative penalty from the Financial Services Agency for accepting buy orders that it knew were intended to inflate the "initial price" after listing, and the company will no longer solicit pre-listing IPO stocks. In addition to clarifying measures to prevent recurrence, the company announced that it would reduce the remuneration of the president and others.
Last month, SBI Securities was ordered to receive orders from the Financial Services Agency for knowingly accepting buy orders for three stocks for which it was in charge of IPOs (initial public offerings) from 2020 to 2021. The department was ordered to suspend operations and improve its operations.
In response to this, the company submitted a business improvement report to the Financial Services Agency on the 13th.
In order to prevent recurrence, the company will no longer solicit IPO stocks before they are listed, and will establish an internal business improvement committee.
At the same time, the company has announced that President Masato Takamura's remuneration will be reduced by 30% for three months, as he has a heavy management responsibility, and the remuneration of the senior managing director in charge and executives involved in this incident will also be reduced.
SBI Securities commented, ``We take the punishment seriously, and all of our executives and employees will do our best to prevent recurrence and restore trust.''