The president of the Bank of Tokyo-Mitsubishi said Tuesday that he will not resign from his position as head of a banking industry organization despite allegations that his bank bribed Finance Ministry officials.
After apologizing for the bribery scandal during a Tokyo news conference, Satoru Kishi said his presence as chairman of the Federation of Bankers Associations of Japan (Zenginkyo) is necessary to stabilize the nation's financial system.
"For now, I want to use all I have to help enable the banking stability laws to function smoothly," Kishi said. The laws enacted Monday paves the way for up to 13 trillion yen in taxpayers' money to be used to strengthen banks' capital.
He would not say whether he would resign after the preparations for aiding banks are finished, probably near the end of March, because his thoughts are occupied with ensuring the stability of Japan's banking system.
The Bank of Tokyo-Mitsubishi and Sumitomo Bank were included Monday with four other large banks that have allegedly bribed ministry officials, according to prosecutors. Kishi succeeded Naotaka Saeki, president of Sanwa Bank, as Zenginkyo chairman earlier this month when Saeki resigned to take responsibility for the alleged involvement of his bank in the bribery case.
An examining committee is to be formed within the Deposit Insurance Corp. to decide which of the banks will qualify for taxpayers' money. Kishi said he needs to explain the bankers' views to the committee members when they draft the screening standards to make sure the screening process "fits the reality."
The Bank of Tokyo-Mitsubishi is in the position of representing the entire banking industry by virtue of Kishi's chairmanship of Zenginkyo. He declined to comment on whether another bank is capable of representing the industry.