Yamaura General Contractor Faces Fines for False Financial Statements

The Financial Services Agency is gearing up to slap a fine on general contractor Yamaura for putting out inaccurate financial statements, reports revealed on Tuesday. The trouble started in May 2023 when an accounting auditor flagged an approximately ¥1 billion gap between the actual and reported balances of bank deposits made by Yamaura’s Tokyo-based subsidiary. To make matters worse, the parent company recorded ¥1 billion in accounts receivable in its consolidated earnings report for the fiscal year ending in March 2023, which turned out to be a blunder. A subsequent investigation uncovered that a key player in this debacle, Hiroyuki Murata, had illegally siphoned off over ¥2.5 billion by 2023. Consequently, Yamaura had to revise its financial results for the past three years. The reason behind the hefty fine recommendation is that the release of falsified financial statements violates the financial instruments and exchange law, according to insider sources. Murata, along with his 35-year-old son Toshiki, has been apprehended and charged with embezzling around ¥900 million. The funds were reportedly used for settling credit card bills and loans with the entity behind the Rizin mixed martial arts events.