Sumitomo Chiefs Quit After Stock Scandal Arrest
The chairman and the vice president of Sumitomo Bank, the world’s third-largest bank, resigned today to take responsibility for a former branch manager’s alleged link to a stock speculation scandal, the bank said.
Chairman Ichio Isoda announced Oct. 7 that he would resign following the arrest of a former branch manager on suspicion of offering illegal loans to a stock speculator.
But there had been no prior announcement that the bank’s vice president, Teizaburo Nishi, would resign. The resignations were approved at a meeting today. No replacements have yet been named.
Vice Chairman Ko Komatsu also resigned today, but for health reasons, a Sumitomo spokesman said. Komatsu and Isoda will assume advisory positions on the board.
All 50 board members will take substantial cuts in their special allowances for the six months starting in November, the spokesman said.
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.
