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National News

Livedoor's new boss arrested

Prosecutors on Feb. 22 arrested Livedoor Representative Director Fumito Kumagai in connection with the alleged accounting fraud in which his former colleagues are embroiled.

They also served fresh warrants on former Livedoor Co. President Takafumi Horie and three other ex-executives on suspicion of falsifying the company's financial figures for the business year through September 2004.

The new warrants allow Tokyo prosecutors to continue to hold for further questioning Horie and the other three, who have been in custody since Jan. 23 for alleged securities law violations.

The Tokyo Stock Exchange will begin procedures to delist Livedoor if the Securities and Exchange Surveillance Commission files a fresh criminal complaint with prosecutors against Livedoor over alleged accounting fraud or if the state presses charges.

Prosecutors believe the five inflated Livedoor earnings for the year through September 2004 by more than ¥5 billion.

Kumagai, 28, took up the post of representative director on Jan. 24, the day after Horie and the three others were arrested. (Kyodo)

Shukan ST: March 3, 2006

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National News Livedoor's new boss arrested Prosecutors on Feb. 22 arrested Livedoor Representative Director Fumito Kumagai in connection with the alleged accounting fraud in which his former colleagues are embroiled. They also served fresh warrants on former Livedoor Co. President Takafumi Horie and three other ex-executives on suspicion of falsifying the company's financial figures for the business year through September 2004. The new warrants allow Tokyo prosecutors to continue to hold for further questioning Horie and the other three, who have been in custody since Jan. 23 for alleged securities law violations. The Tokyo Stock Exchange will begin procedures to delist Livedoor if the Securities and Exchange Surveillance Commission files a fresh criminal complaint with prosecutors against Livedoor over alleged accounting fraud or if the state presses charges. Prosecutors believe the five inflated Livedoor earnings for the year through September 2004 by more than ¥5 billion. Kumagai, 28, took up the post of representative director on Jan. 24, the day after Horie and the three others were arrested. (Kyodo) Shukan ST: March 3, 2006 (C) All rights reserved