Japan seeks fees towards advert corporations over Olympics contracts | Enterprise and Financial system

Japanese authorities have alleged that firms rigged the bids for 26 contracts price $3.95m.

Japan’s antitrust watchdog has filed legal complaints towards quite a few promoting corporations and people over alleged corruption within the planning and advertising of the Tokyo 2020 Olympic Video games.

The Japan Truthful Commerce Fee stated on Tuesday it filed the grievance towards the six corporations and 7 people after figuring out that the “malicious and severe case” would have a “broad impression on folks’s lives”.

The six promoting corporations named within the grievance are Dentsu, Hakuhodo DY Holdings, Tokyu Company Inc, Fuji Artistic Company, Cerespo Co and Similar Two Inc.

The transfer comes following months of investigations by authorities into claims that firms conspired to rig bids for occasions within the run-up to the Olympics in violation of Japan’s antimonopoly legal guidelines.

Authorities have alleged that the bid rigging concerned 26 supposedly open tenders price 538 million Japanese yen ($3.95m).

Prosecutors earlier this month arrested a former Tokyo Olympics organising committee official and executives at Dentsu, Fuji Artistic and Cerespo in reference to the case.

On Friday, Dentsu chief govt Hiroshi Igarashi admitted to prosecutors that his firm had rigged bids for contracts associated to the Video games, Kyodo Information reported, citing unnamed sources near the matter.

Dentsu, Cerespo and Fuji Artistic have already been slapped with a nine-month ban from bidding for contracts at a number of authorities ministries.

The scandal follows the arrest final yr of Haruyuki Takahashi, a former Olympics board member and Dentsu govt, on suspicion of taking bribes from sponsors.

Executives from promoting agency ADK Holdings, clothes retailer Aoki Holdings and publishing firm Kadokawa have additionally been arrested in reference to the bribery case.