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Nationl News

Livedoor execs change attitude to Horie

Livedoor executives have reversed themselves and are telling prosecutors that founder Takafumi Horie was involved in corporate takeovers now under investigation, sources said Jan. 24.

The Livedoor scandal took a fresh turn Jan. 23 after prosecutors arrested Horie, who became a household name with his challenges to Japan's business old guard. Chief financial officer Ryoji Miyauchi and two other Livedoor group executives were also arrested.

Prosecutors believe Horie let Miyauchi and other executives engage in fraudulent corporate practices, based on their remarks and in-house e-mails investigators have examined, the sources said.

Miyauchi and the executives had earlier said that Horie, 33, was not involved in the alleged offenses, claiming he knew little about the group's financial operations.

But right before the arrests, they started saying that buyout plans involving stock swaps and investment groups were explained at meetings that Horie attended.

Meanwhile, Horie has been replaced as head of the company. (Kyodo)

Shukan ST: Feb. 3, 2006

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Nationl News Livedoor execs change attitude to Horie Livedoor executives have reversed themselves and are telling prosecutors that founder Takafumi Horie was involved in corporate takeovers now under investigation, sources said Jan. 24. The Livedoor scandal took a fresh turn Jan. 23 after prosecutors arrested Horie, who became a household name with his challenges to Japan's business old guard. Chief financial officer Ryoji Miyauchi and two other Livedoor group executives were also arrested. Prosecutors believe Horie let Miyauchi and other executives engage in fraudulent corporate practices, based on their remarks and in-house e-mails investigators have examined, the sources said. Miyauchi and the executives had earlier said that Horie, 33, was not involved in the alleged offenses, claiming he knew little about the group's financial operations. But right before the arrests, they started saying that buyout plans involving stock swaps and investment groups were explained at meetings that Horie attended. Meanwhile, Horie has been replaced as head of the company. (Kyodo) Shukan ST: Feb. 3, 2006 (C) All rights reserved