Olympic bid rigging case Dentsu group and other six companies today to criminal prosecution Japan Fair Trade Commission

In a bid-rigging case over the operation of the Tokyo Olympics and Paralympics, the Japan Fair Trade Commission (JFTC) targeted six companies, including the largest advertising company, Dentsu Group, and the industry's second-largest company, Hakuhodo. In addition, on the 28th, the six companies and seven people, including the former deputy director of the tournament organizing committee, have decided to file criminal charges on suspicion of violating the Antimonopoly Act, alleging that they made illegal order adjustments. I understand.

Yasuo Mori, 56, former deputy director of the Tokyo Olympic and Paralympic Organizing Committee's event management department, and Koji Hemi, 55, a former executive of Dentsu who served as managing director of the sports business department, etc. The person was accused of illegally coordinating orders for projects totaling 40 billion yen, including bidding for planning work for test competitions for each sport ordered by the organizing committee and operation work for the main tournament. He was arrested by the Tokyo District Public Prosecutors Office on suspicion of violation.

The company that won the bid for the planning work for the test tournament later received an order for the operation of the main tournament of the same competition in the form of a negotiated contract. We have been conducting an investigation on the suspicion of collusion with a view to receiving orders for the work of this tournament, which has a large amount of money.

As a result, the Japan

Fair Trade Commission

has formed a total of six companies

: Dentsu

Group, the largest advertising

company

;

On

the 28th, it was learned from an interview with a person concerned that a policy of criminal prosecution was established on suspicion of violating the Antimonopoly Act.

It is a policy to accuse a total of seven people in charge of each company, including Deputy Director Morimoto and former executive Hemi of the Organizing Committee.

There is a suspicion that a group company of advertising giant ADK was also involved in the collusion, but considering that they first voluntarily reported fraud to the Fair Trade Commission, criminal charges are expected to be shelved.

In response, the Special Investigation Department is expected to indict six companies and the former deputy chief on the 28th.