OSAKA -- The former president of a failed firm here that sold mortgage-backed securities was arrested along with 18 others Tuesday on suspicion of defrauding clients of about 1.1 billion yen by misrepresenting the financial products of the firm's affiliates, police said.
Police only identified Hiroshi Toyonaga, 65, the former president.
About 17,000 people, many of them over 60, were allegedly victimized by the Daiwa Toshi Kanzai group's scam.