The president of the scandal-tainted Bank of Tokyo-Mitsubishi hinted April 7 that he should be kept on as the head of the banking federation to avoid amplifying foreigners' distrust in Japan's banking sector.
But Satoru Kishi said that decision will be made not by himself, but by an ad-hoc committee at the Federation of Bankers Associations of Japan (Zenginkyo), which he said ought to consider many other factors.
In a Tokyo news conference, Kishi said some foreigners do not understand the "Japanese-style reaction" to the scandal, apparently referring to the resignation of Naotaka Saeki, president of Sanwa Bank. Saeki stepped down as the federation chairman in February after his bank was named in the scandal. "It appears that press reports about (the resignation) gave foreigners an exaggerated impression that the Japanese banking industry cannot be trusted," Kishi said.
He said that if he resigned like Saeki, the federation would end up with two resignations in only two months. That would make some foreigners conclude that the chairmen were involved in serious crimes, he said. Tokyo-Mitsubishi is one of 10 Japanese banks that allegedly bribed bureaucrats, including those at the Finance Ministry and the Bank of Japan. An employee of Tokyo-Mitsubishi has been given a summary indictment by the Tokyo District Prosecutor's Office.
When he succeeded Saeki in early February, Kishi said he expected to be re-elected as the federation chairman on April 21, when the current term expires. But when Tokyo-Mitsubishi was added to the list of banks in the scandal later in February, he said he would not consider resignation until the financial stability laws began functioning in March.