Nihon Univ. Executive Suspected of Receiving Part of Diverted Funds
Tokyo, Oct. 6 (Jiji Press)--A member of Nihon University's executive board is suspected of receiving several tens of millions of yen out of some 200 million yen that is seen to have been diverted from the university in a possible breach of trust case, investigative sources said Wednesday.
The Tokyo District Public Prosecutors Office's special investigation squad is now seen to be in the final phase of its probe into the matter, conducting questioning of the 64-year-old board member.
Nihon University placed an order to a Tokyo-based firm to undertake design work for a project to rebuild its aged Itabashi Hospital in the Japanese capital's Itabashi Ward for some 2.4 billion yen last year, sources familiar with the matter said.
The board member in question is suspected of having caused financial damage to Nihon University by diverting around 200 million yen from the educational institution to a consulting firm based in Tokyo's Minato Ward, in which a former chairman of a medical corporation group has invested, in connection with the design contract.
Nihon University Enterprise Co., established as a wholly owned unit of the university in Tokyo's Setagaya Ward to be responsible for goods procurement and facility management, was in charge of the selection of a design firm for the rebuilding project and supported the design work.
[Copyright The Jiji Press, Ltd.]