"Corporate Governance" First surcharge for false statements 7 December 24 at 7:24
As the Tokyo electronics maker inflated profits, and the internal audit system was described in the securities report, the Securities and Exchange Surveillance Committee paid a surcharge of 24 million yen. I advised the Financial Services Agency to order. This is the first time that a levy recommendation has been made over the description of so-called “corporate governance”.
The target of the recommendation was Japan Form Service, an electronic equipment manufacturer listed in JASDAQ and listed in Tokyo and Koto Ward.
According to the Securities and Exchange Surveillance Committee, this company has stated a lie in its securities report and has increased its profit by more than 970 million yen over the last four years. In other words, it seemed as if an officer in charge of compliance was appointed, and it seemed that the auditors and the audit corporation regularly exchanged opinions.
For this reason, the Monitoring Committee recommended that the Financial Services Agency order the company to pay a surcharge of 24 million yen based on the 6th Financial Instruments and Exchange Act.
This is the first time that a surcharge has been recommended for a description of “corporate governance”.
"Nippon Form Service" has announced the comment "Take the situation seriously, try to prevent recurrence and restore trust".