Japan, Inc. Rocked Again: Toray Admits To Falsifying Data After Internet Post Exposes Fraud

Corporate Japan's credibility, already teetering after a barrage of corporate fraud and falsification scandals in recent months, hit another low after Toray Industries, one of Japan's biggest materials manufacturers, joined a list of companies admitting to falsifying data. On Tuesdaty, Toray announced it had uncovered 149 cases of data fabrication at its subsidiary, Toray Hybrid Cord, in three products sold to tire companies and autoparts makers: tire cords, cords for car hose belts and cords for paper making. According to Nikkei Asian Review, the subsidiary made the products look as though they met customer requirements. The company admitted that 13 domestic and overseas companies, including at least one South Korean company, are affected.

In a statement issued roughly around the time president Akihiro Nikkaku was bowing to news reporters as Japanese management tends to do when caught engaging in criminal activity, Toray maintained that the "amount by which the data was adjusted to fit customer contract standards was insignificant." The company believed there were no safety issues involved. Toray Hybrid Cord discovered the problem during a July 2016 internal compliance check, with Toray president Akihiro Nikkaku being informed of the matter the following October.


Toray President Akihiro Nikkaku bows at a news conference in Tokyo on Nov. 28

Explaining why it took more than a year to disclose the falsification, Nikkaku said at a news conference in Tokyo on Tuesday morning that the company would usually not have revealed such data falsification, as there were no safety concerns or violations of law. He added that Toray would normally settle the matter with customers privately.

But it was what he said next that was truly, and  sublimely bizarre moment: "We found a post on the internet in early November [2017] that said our subsidiary was falsifying data, and we had some of our shareholders and customers contacting us about the issue. In order to clarify the situation, we decided it was best to go public."

Yes, when you are exposed is usually a good time to go public...

Nikkaku also revealed that Toray was in the midst of conducting a group-wide investigation into other possible malpractices, and that there were still 137 cases remaining to be examined. As well as supplying fabrics to casualwear manufacturer Uniqlo, Toray also provides carbon fiber to Boeing. "I believe that there are no irregularities in our products to big customers like Boeing or Fast Retailing," Nikkaku said, referring to the U.S. aircraft maker and Uniqlo's parent.

Toray's admission of fraud is only the latest in a series of data falsification scandals that have rocked Japan's materials manufacturers in recent months. Kobe Steel admitted to falsifying data in early October, while Mitsubishi Materials came forward last week and said it had been doing the same at three of its subsidiaries.

But Toray's admission may have wider repercussions since the company is home to Sadayuki Sakakibara, current chairman of the Japan Business Federation, or Keidanren, Japan's biggest business lobby.

And in a moment of sublime irony, it was only on Monday during a regular news conference that Sakakibara had said he was "very disappointed" by Mitsubishi Materials' data rigging, and that the string of scandals was "a serious situation that could affect trust in Japanese companies." Meanwhile, Toray's data falsification started in 2008 while Sakakibara was president of the company.

Oops.

Nikkaku noted that Sakakibara was made aware of Toray's falsification after Monday's news conference, and that he was requested to "deal with the situation sincerely." Toray's shares plunged on Tuesday, ending the day at around 1,046, down 5.3% from Monday's close.

Comments

highwaytoserfdom Tue, 11/28/2017 - 07:20 Permalink

Hope this is not a Toshiba Westinghouse nuclear  crony capital theft of chip plant deal from the corrupt judiciary. Toshiba Reaches Deal With Bain-Apple Group to Sell Chip Business - The New York Times

nati Tue, 11/28/2017 - 07:24 Permalink

Nikkaku-san went on to note, "Japanese penis so small, but American penis is HUGE. So HUGE! Japanese penis so small, like grain of rice."

highwaytoserfdom Tue, 11/28/2017 - 07:33 Permalink

There is a lot here folks.   Funny how the Volkswagen settlement was the same as the Icrap Tax bill in Germany.   In this case the diesel 134 hP per liter.   Total opposite of environment standard. http://gas2.org/2008/03/12/the-worlds-most-fuel-efficient-car-285-mpg-n… is a pay to play scandal for hybrid and big oil and carbon taxers.  Now the Toray carbon fiber plant uses cheap electric...   In fairness have not looked at tire cord problem...

To Hell In A H… Tue, 11/28/2017 - 07:39 Permalink

That use to be called fraud, but not today. Then these cunts want to call you a Nazi and fascist for voting for ANY politician who says they will put an end to their behaviour and conduct. Start with the MSM mouthpieces for leading the plebs blind folded into our current predicament. Look says the MSM, its left vs right.... Look Squirrel.

Hillarys Server Tue, 11/28/2017 - 08:05 Permalink

"Thank you members of the press. Mrs Clinton will speak now."

-- I've killed about 80 of my political opponents, sometimes shooting them in the back of the head. I had Gaddafi killed and I shipped Libyan weapons to ISIS. I cheated in the debate. I lied about Peepeegate. I eat pussy.

"Mrs Clinton, why are you making this confession now?

-- There was a post on the internet.

any_mouse Tue, 11/28/2017 - 08:44 Permalink

"Yes, when you are exposed is usually a good time to go public..."

Oops, got caught.

Couldn't think of a good enough lie to cover.

Tell as little truth as possible.

Apologize and pledge to not let this happen again.

Rex Andrus Tue, 11/28/2017 - 09:13 Permalink

This is the best the Japanese have. Guess they aren't the ubermenchen they like to believe. Had enough of your racism in the USA, affirmative action needle dick bug fuckers.

Come On Puu See Rex Andrus Thu, 11/30/2017 - 00:02 Permalink

YES, WE KNOW YOU ARE RACIST AND HATE JAPANESE AND ASIANS IN GENERAL. SO WHY NOT JUST COME OUT OF THE CLOSET AND ADMIT IT INSTEAD OF BEING HOMO AND COMPARING DICK SIZE? AND NO, JAPANESE DO NOT EAT BUGS. THAT WOULD BE THE THAI. I WOULD MUCH PREFER A KIND JAPANESE PERSON WITH A SMALL DICK THAN  AN AMERICAN PSYCHO RAPIST WITH A GIANT DICK. PHYSICAL ATTRIBUTES DO NOT DETERMINE GOODNESS OR EVIL. IT IS WHEN THEY OPEN THEIR STUPID MOUTH OR PULL OUT A WEAPON. HOMO AND STUPID, HAHAHAHAHAHA.  INFOWARS.COMREVOLUTIONRADIO.ORGZEROHEDGE.COMNATURALNEWS.COMGEOENGINEERINGWATCH.ORGFOODBABE.COMWHATDOESITMEAN.COMSLICKDEALS.NETDEALNEWS.COM

In reply to by Rex Andrus