Prudential Life Expected to Face Inspection over Fraud

Tokyo, Jan. 27 (Jiji Press)--Japan's Financial Services Agency plans to inspect Prudential Life Insurance Co. after the company said over 100 current and former employees had scammed some 500 clients out of about 3.1 billion yen, people familiar with the matter said Tuesday.

The agency's on-site inspection is designed to look into the company's oversight of employees. The FSA is expected to consider imposing administrative penalties on Prudential Life.

The company unveiled the misconduct on Jan. 16. President and CEO Kan Mabara will step down on Sunday to take responsibility.

The misconduct continued for more than 30 years, starting in 1991. Employees received money fraudulently from customers by encouraged them to invest in unauthorized financial products and cryptoassets and did not return money that had been borrowed under the guise of investment.

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