Suruga Bank Sues 5 Ex-Management Team Members

Economy Society

Tokyo, Dec. 27 (Jiji Press)--Suruga Bank <8358> filed a lawsuit on Thursday against five members of its former management team, alleging that the bank incurred losses from inappropriate loans to companies related to the founding family.

In the lawsuit filed with Shizuoka District Court, the bank demands damages payments totaling some 3,244 million by the five, including Mitsuyoshi Okano, former chairman, and Kinosuke Okano, late former vice president, both members of the family.

The bank has already filed a 3.5-billion-yen damages suit with the same court against nine current and former executives including the two family members over the high-profile lending scandal tied to share house investments.

In regard to the second suit, the bank's investigative committee found that more than 2.2 billion yen of 8.8-billion-yen loans to a firm linked to the family became irrecoverable due to the former management team's improper lending practice involving a separate related firm in 2015.

In addition, the bulk of donations totaling some 4.7 billion yen the Numazu, Shizuoka Prefecture-based regional bank made to a founding family-related art museum management firm from 2012 to 2017 were later given to another family company for repayment of its loans to the bank.

[Copyright The Jiji Press, Ltd.]

Jiji Press