Kobe Steel to announce personnel decision, investigation update

Kobe Steel Ltd (5406.T), at the center of a data-falsification scandal that has shaken Japan’s manufacturing industry, said it would announce an important personnel-related decision later on Thursday.

The company also said it would give an update on an independent investigation into its data tampering scandal at around 5 p.m. (0800 GMT).

Japan’s third-largest steelmaker, which supplies the manufacturers of cars, planes, trains and other products across the world, has said about 500 customers had received products with falsified specifications.

The 112-year-old company has had a Japanese government-sanctioned seal of quality revoked on some of its products and is also subject of a U.S. Justice Department inquiry.

No safety issues have so far been identified from the data cheating, which mainly involves falsely certifying the strength and durability of products.

CEO Hiroya Kawasaki said in November that his “ultimate management responsibility” will be decided after outside investigators complete a report on the case.

A series of compliance failings by Japanese companies have surfaced in the past few months.

Scandals have involved Nissan Motor (7201.T) as well as Mitsubishi Materials Corp (5711.T) and Toray Industries (3402.T) - key suppliers of products to global manufacturers.

(REUTERS)