OSE president to lose pay for glitch

Kyodo

The Osaka Securities Exchange said Wednesday it will cut the monthly pay of its president, Motoharu Fujikura, by 30 percent for one month over a system problem that forced it to suspend derivatives trading in March.

The OSE said the problem occurred in software that accepts orders for derivatives, adding it is taking preventive measures by enhancing the monitoring system for servers and data analysis.

The Financial Services Agency ordered the OSE the same day to follow through on the measures and report on progress but stopped short of imposing administrative punishment.

“Once again, we apologize to investors and all the people concerned for causing a great deal of trouble,” the bourse said. The problem in the software program has been fixed, it added.

“We’ve confirmed that a similar problem won’t occur,” Managing Director Yoshinori Karino, who is in charge of software programs at the bourse, told reporters. Karino will take a 20 percent cut in salary for a month.

The software problem, which occurred on the morning of March 4, forced the OSE to suspend trading in derivatives such as Nikkei 225 Options and Nikkei 225 Futures for up to four hours.