Tokyo-Based Mail Order Biz Operator Kefir Goes Bankrupt

Economy Society Lifestyle

Tokyo, Sept. 3 (Jiji Press)--Tokyo-based mail order business operator Kefir Inc., which attracted large amounts of investment from consumers under a so-called ownership program, filed for bankruptcy on Monday.

Tokyo District Court immediately approved the start of bankruptcy proceedings.

Kefir and three affiliates have a total of 33,700 creditors and 105.3 billion yen in debts, according to Kefir.

Kefir said it had reached a financial dead end because many contracts had been canceled or terminated without renewal amid deteriorating trust in the company following payment delays stemming chiefly from computer system problems.

"We tried every measure but we couldn't find a way out," the company said in a statement.

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Jiji Press