Provisional Translation

Q.

I’d like to ask the Minister of State for Financial Services a question regarding the Japan Post Insurance scandal. Amidst the inappropriate sales practices issue, three presidents of the Japan Post Group are expected to resign. What are your thoughts on this, including that it was caused by inadequate operation of the organization’s governance?

A.

I am aware that such information has been reported, but I’m not commenting on the personnel affairs of individual companies. Suffice it to say that, looking at the governance issues of the Japan Post Group, it appears as if information was not sufficiently shared in a proper manner in each of the group’s related companies and between companies. Accordingly, I believe that information on the actual situation of insurance sales did not reach the management ranks. If the management of a company does not ensure proper communication between each company and internally within the companies, this kind of situation will occur. Therefore, this case looks to me like one where the management failed to grasp the real situation on the frontline of sales. The next management will need to recognize this point, and work hard to improve the situation.