Dai-ichi Life Execs Punished over Massive Fraud

Economy

Tokyo, Feb. 13 (Jiji Press)--Dai-ichi Life Insurance Co. has announced penalties for five executives over a high-profile incident in which a former employee had cheated customers out of as much as about 1.9 billion yen in total.

Pay will be cut by 20 pct for three months for Mitsunori Moriguchi and Yoshitaka Okumura, both managing executive officers for marketing, while the other three, including Kyoichi Saito, a board member and managing executive officer in charge of compliance, received verbal warnings and will return 15 pct of their salaries for three months, the company said Friday.

Meanwhile, Dai-ichi Life President Seiji Inagaki and Chairman Koichiro Watanabe will voluntarily return half of their pay for three months from March to take their supervisory responsibility for the incident.

Separately, four people, including a board member of Dai-ichi Life Holdings Inc. <8750>, the parent of the major Japanese life insurance firm, will return 10 pct or 30 pct of their salaries for three months.

In addition, 43 executives in total at the two companies will take 10 pct cuts in the performance-based portions of their salaries.

[Copyright The Jiji Press, Ltd.]

Jiji Press