The Administrative Action against SMBC Nikko Securities Inc. by the Financial Services Agency of Japan(1/1)
April 20, 2012
Sumitomo
Mitsui Financial Group, Inc.
Sumitomo Mitsui Banking
Corporation
The
Administrative Action against SMBC Nikko Securities Inc.
by the
Financial Services Agency of
Tokyo,
April 20, 2012 --- On April 13, 2012, the Securities and Exchange Surveillance
Commission (“SESC”) recommended that the Prime Minister and the Commissioner of
the Financial Services Agency of Japan (“FSA”) issue an administrative action
against SMBC Nikko Securities Inc. (“SMBC Nikko” hereunder, President &
CEO: Eiji Watanabe), a wholly-owned subsidiary of
Sumitomo Mitsui Banking Corporation (“SMBC” hereunder, President & CEO:
Takeshi Kunibe). Today, SMBC Nikko was issued a
Business Improvement Order by the FSA, based on the FSA’s
findings of deficient internal control systems with respect to undisclosed
corporate information and inappropriate solicitation activities by SMBC Nikko.
We
would like to apologize with our deepest sincerity for the inconvenience and
concern this has caused to all of our customers and stakeholders.
We
will respond to the administrative action against SMBC Nikko by the FSA with
profound gravity by supervising SMBC Nikko’s compliance measures to prevent reoccurrence
and by taking make appropriate efforts to further strengthen our group wide
compliance and control system.
End
