Japan's Securities and Exchange Surveillance Commission (SESC) issued a recommendation to the Prime Minister and the Japanese FSA Commissioner to bring administrative action against Nomura Securities.
The recommendation is based on the findings of an inspection conducted by the SESC in which violations of laws and regulations related to the control of corporate-related information concerning public offerings were identified.
The Commission also was concerned by acts of soliciting customers for the sale and purchase or other transactions of securities by providing corporate-related information, and other inappropriate business practices.
In a statement, Nomura apologised to its customers and all parties concerned for “the trouble we have caused,” adding:
“In connection with the matters relating to the recommendation for administrative action by the SESC, we announced a series of improvement measures on June 29 and issued an update on the progress of implementation of these improvement measures on July 26. Under the leadership of our new management team, the entire firm is working to prevent a reoccurrence of similar violations.
“We take the SESC's recommendation seriously and will further enhance and reinforce our internal control structure to regain the trust of the public.”
