SMBC Nikko CEO to return pay for 6 months over market manipulation case
FILE PHOTO: SMBC Nikko Securities' logo is pictured at its headquarters in Tokyo, Japan December 5, 2017. Picture taken December 5, 2017. REUTERS/Kim Kyung-Hoon
TOKYO : SMBC Nikko Securities said on Friday its chief executive will return his compensation for six months to take responsibility for suspected market manipulation at the company that led to the indictment of former executives.
The head of Sumitomo Mitsui Financial Group Inc (SMFG), SMBC Nikko's parent, will also face a pay cut of 30 per cent over six months, Japan's second-largest financial group said.
SMBC Nikko and six former executives have been indicted on market manipulation charges over the purchase of 10 individual stocks, allegedly to push up their prices and ensure that block trade deals in them did not fall through.
Japan's financial regulator last month ordered both SMFG and SMBC Nikko to improve compliance.
