TOKYO, Jun 12 (Pulse News Wire) – ENECHANGE Ltd. (4169.T) announced today that the Financial Services Agency (FSA) has publicly recommended a fine payment of ¥91.5 million against the company based on its recommendation to the Cabinet Office and the FSA under Article 20, Paragraph 1 of the Act Establishing the Financial Services Agency.
The recommendation stems from corrections made to quarterly reports filed in previous fiscal quarters and a securities filing submitted on February 09, 2024. On November 13, 2024, the company had previously disclosed partial corrections to its interim condensed consolidated financial statements for the third quarter ending September 30, 2023, and the submission of revised filings related to those reports. Regarding the fine amount, ENECHANGE stated that it has already recorded ¥185 million as a provision for settlement expenses in its fiscal year ended December 2023.
Additionally, half of this provision, amounting to ¥92 million, was reversed during the third quarter of the fiscal year ending March 2025 due to a reduction in the fine amount reported subsequently. The remaining difference of ¥1 million is expected to be recognized as extraordinary income in the first quarter of the fiscal year ending March 2027. The company emphasized that it takes the regulatory recommendation seriously and plans to review its next steps upon receiving formal notification from the FSA.
It also noted that it would promptly disclose any impact on earnings forecasts once notified officially by the FSA.
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