PwC to conduct ‘special’ Takefuji audit

The company appointed PricewaterhouseCoopers in an effort to end rumours regarding its financial health following allegations of huge losses which cost the company Y5.6bn (£35.2m).

General manager Shizuo Mizukami said it was hoped the PwC probe would reassure Takefuji’s foreign shareholders.

He said allegations that the company had fabricated accounts were ‘inconceivable’.

Since the beginning of November, the Takefuji share price has fallen 50%, after it was found to have indirectly funded a company owned by Yoshihiko Kokura, a controlling shareholder of failed insurance company Taisho Life. Kokura has since been arrested for in connection with defrauding Taisho Life.

Mizukami made a statement claiming the company had invested money in Mitsui Trust Bank, which had in turn made an investment in Kokura’s fund, but this has failed to halt the fall in Takefuji’s share price as foreigners continue to sell stock.

Before the rumours about the its financial health, Takefuji was one of the favourite choices of foreign investment fund managers, who owned 26% of the company.


PwC website

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