Kokusai Securities suspended from 3 stock exchanges.
The Tokyo Stock Exchange (TSE), the Osaka Securities Exchange and the Nagoya Stock Exchange said Tuesday they will suspend operations of Kokusai Securities Co. on their respective bourses from July 4 to 6 in line with a punitive move by financial authorities on the second-tier brokerage house.
It is the first such suspension the bourses have invoked on any major or second-tier brokerage house in the postwar era.
The suspension, excluding settlements for margin transactions, follows the Financial Services Agency (FSA) decision, announced Monday, to suspend Kokusai's operations at all of its offices on the same three days.
The FSA move was based on findings that workers at Kokusai's Osaka and Oita branches violated the Securities and Exchange Law by offering special profits to certain customers in an inappropriate manner and attempting to conceal evidence of the deals.
The exchanges said, in addition to the three-day suspension, that they will shut out Kokusai's Osaka branch from stock trading for investors from July 7 to Aug. 6 and its Oita branch from bonds trading for investors between July 9 and 13.
TSE President Masaaki Tsuchida said at a news conference that the Kokusai case is very serious and that he is worried it might damage investor trust in the entire industry.
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|Publication:||Japan Weekly Monitor|
|Date:||Jun 23, 2001|
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