Japanese Motor Maker Nidec Looks to Restore Trust Amid Accusations of Improper Accounting

Reuters
Nidec Corp’s logo

Nidec Corp., a major Japanese motor maker, announced Tuesday that it set up a restructuring committee on Oct. 30 headed by the company’s president and CEO, Mitsuya Kishida. Nidec has been warned by the Tokyo Stock Exchange over improper accounting practices and is working to strengthen its internal management.

Since May, delayed audits and suspicions of improper accounting practices have surfaced repeatedly at Nidec’s overseas subsidiaries. Suspecting involvement by Nidec management, the company established a third-party committee in September.

On Oct. 28, the Tokyo Stock Exchange designated Nidec as a Security on Special Alert.

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