Ex-SMBC Nikko Executive Indicted over Market Manipulation

Tokyo, April 13 (Jiji Press)--Japanese prosecutors indicted former SMBC Nikko Securities Inc. Deputy President Toshihiro Sato on Wednesday on charges of involvement in stock price manipulation in violation of the financial instruments and exchange law.

Sato, 59, became the sixth individual to be indicted in the scandal involving the Sumitomo Mitsui Financial Group Inc. <8316> unit. Sato has denied the charges against him, sources familiar with the investigation said.

The Tokyo District Public Prosecutors Office brought additional charges against SMBC Nikko and Makoto Yamada, 44, former head of the company's equity trading. The prosecutors' office effectively concluded its investigation into the case.

The alleged stock price manipulation involved 10 issues, including Taisho Pharmaceutical Holdings Co. <4581>.

The prosecutors suspect that Sato gave consent to manipulate the price of Taisho shares by receiving reports from Yamada about the transaction.

[Copyright The Jiji Press, Ltd.]