Dentsu Not to Join Industry Ministry Biddings for Time Being


Tokyo, July 23 (Jiji Press)--Japanese advertising giant Dentsu Inc. has said it will not take part in the biddings for new projects planned by Japan's industry ministry for the time being.

The decision, announced Wednesday, was made in response to public criticism over the dubious process of how the company took on a task related to a key coronavirus relief program of the ministry.

Dentsu has established an in-house bureau for reviewing how the company should undertake state projects. The bureau is working on ensuring appropriate implementation of deals, including by checking respective forms of transactions and monitoring work processes.

An industry ministry expert panel is set to compile by the end of this year measures aimed at enhancing the transparency of the processes of commissioning private companies to undertake the ministry's projects. Dentsu is expected to wait for such measures to come out before it resumes placing bids for tasks of projects planned by the ministry.

At issue was the work to pay up to 2 million yen each in cash relief to small businesses and freelancers hit by the COVID-19 crisis in a project under the government's first supplementary budget for fiscal 2020.

[Copyright The Jiji Press, Ltd.]

Jiji Press