BFF-27 Japan power firm execs admit $3m in ‘gifts’ from local official

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Japan power firm execs admit $3m in ‘gifts’ from local official

TOKYO, Sept 27, 2019 (BSS/AFP) – The president of a Japanese power firm
admitted Friday that he and other executives received money and gifts worth
around $3 million from a town hosting one of their nuclear plants.

The money and gifts totalled 320 million yen over seven years from 2011 and
came from the late deputy mayor of Takahama town, where Kansai Electric
(KEPCO) has a nuclear plant.

“I deeply apologise for causing great concern to stakeholders and the
public,” KEPCO president Shigeki Iwane told reporters.

The admission came after investigations by tax authorities into the deputy
mayor revealed the payoffs.

“We were afraid our relationship with the local government would be
damaged” if the gifts and money were rejected, Iwane said.

“We had in mind to return them at the right time. We knew they were
expensive gifts and we had to return them one day.”

But Iwane added he “would not reveal the details of who received what and
when as the information is private,” saying some of the gifts had already
been returned.

According to local media, tax agency investigations found that former
deputy mayor Eiji Moriyama received a 300-million-yen commission from a local
construction company that was hired for projects at the Takahama nuclear
power plant.

Moriyama reportedly told authorities he had decided to give KEPCO officials
the money in the form of cash and gifts as a token of his appreciation.

It was not immediately clear if KEPCO, which runs the Takahama nuclear
plant with four reactors in central Fukui prefecture, would face sanctions
over the incident.

Before Iwane’s press conference, Trade and Industry Minister Isshu Sugawara
said a “thorough probe” was necessary.

“If (the news) is true, it’s an extremely egregious and serious situation.
It could shake the trust of communities where nuclear plants are located.”

BSS/AFP/SSS/1431 hrs