Suruga Bank Sues Former Management Team

Society

Tokyo, Nov. 12 (Jiji Press)--Suruga Bank <8358> said Monday that it sued its former management team the same day, claiming that they overlooked lending irregularities and caused losses at the regional bank.

In the lawsuit filed with Shizuoka District Court, Suruga Bank called for the team to pay a total of 3.5 billion yen in damages.

The amount of the claim may increase if losses stemming from irregular lending practices involving share house investments grow further, according to the bank.

The former management team consists of nine incumbent and former directors, including Mitsuyoshi Okano, former chairman, Akihiro Yoneyama, former president, and late Kinosuke Okano, former vice president.

Previously, an investigative committee of outside lawyers established by Suruga Bank in September concluded that the former management team failed to fulfill its legal obligations and let the improperly screened loan deals go.

[Copyright The Jiji Press, Ltd.]

Jiji Press