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Japan's banker fired for scandal
TOKYO. Oct 23 : The Industrial Bank of Japan (IBJ) sacked it* Chairman Tuesday to put behind It a massive loan scandal linked to a mysterious restaurant owner arrested for her alleged involvement tn a massive fraud, reports AFP.
Kaneo Nakamura, quit to take responsibility for deal* that Japan'* top long term credit bank had made since 1987 with a woman who has been Indicted on fraud charge* involving false deposit receipts from a credit union.
1 have decided to resign in order to make my responsibility clear in the affair which has damaged IBJ's corporate Image as well as the credibility of Japans banking Industry as a whole Nakamura. 68. told a press conference.
Ill* exit nearly put paid to loan scandals involving Japanese bank and a contro-
versy over payout* made by major brokerage house* to favoured client* for investment losses that have rocked the financial community here for three months.
On October 3. then finance minister Byutaro Hashimoto and five members of three leading bank*, including Fuji Bank Chairman Taizo Hashida, announced their resignations in connection with the scandals.
The executive* Included Tokai Bank Vice Chairman Eklchl Aral and two board members of Kyowa Saitama Bank.
Nakamura served as IBJ Chairman since June last year after six years aa President of the prestigious 90-year-old bonk, a key player In Japan s postwar reconstruction.
Along with Nakamura, who was retired to a mostly cere-
monial post as an IBJ advisor, senior managing director* Shinji Yamamoto and Mahito Makel also quit their post*, the bonk announced.
All executive* from manag-a director and above will face
ary cut* ranging from 20 to 50 per cent for a period of six month* from November, the announcement said.
The sake up was approved at a special board meeting of IBJ, one of the worlds top 10 commercial banks in terms of assets.
IBJ President Yo Kurosawa earlier told a parliamentary committee that IBJ and Its subsidiaries extended 240 billion Yen (1.8 billion Dollar*) In loans to the restaurant owner Nul Onoue.
Onoue used as collateral 290 billion Yen worth of debentures the bank sold her since March 1987.