TOKYO, May 25 (Pulse News Wire) – Otake Corporation (7434.T) announced today that based on a resolution made through written consent pursuant to Article 370 of the Companies Act and its articles of incorporation, it has established a special investigation committee effective May 25, 2026. The move follows concerns raised by the company's accounting auditor, Taiyou Certified Public Accountants, regarding the appropriateness of revenue recognition for certain transactions involving agents during the current fiscal period.
In light of these issues, Otake decided to set up an external panel comprising specialists and audit committee members to ensure thorough and objective investigations. The special investigation committee includes Chairman Yoshiya Yazaki (lawyer, Hinoki Comprehensive Law Office), Vice-Chairman Katsuhiko Kato (certified public accountant, Kato Katsuhiko CPA Tax Office), Member Kaneshige Manaba (lawyer, Sato-Manaba Legal Firm), Member Chimi Akashi (certified public accountant, Akashi CPA Office, outside director and audit committee member of Otake), and Member Hiroichi Ishihara (lawyer, Ishihara Comprehensive Law Office, outside director and audit committee member of Otake).
Additionally, Akihiro Aiike, an internal director and audit committee member of Otake, also serves on the committee. The primary objectives of the committee are to investigate the factual circumstances surrounding the issue, examine similar cases, determine the impact on consolidated financial statements, analyze the root causes, and propose preventive measures.
The company also noted that it is currently assessing the potential impact on its performance and will inform stakeholders immediately once results are available.
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