Financial Services Minister Hakuo Yanagisawa said Friday that the FSA will look into the computer problems afflicting the Mizuho financial group’s two banks and determine what administrative action to take.
“It is necessary for us to obtain a firsthand explanation from them,” Yanagisawa said.
The investigation will probably begin after the Golden Week holidays, in late April and early May, FSA officials said. It could take as long as a month.
Mizuho’s computer problems began just before the April 1 launch of Mizuho Bank and Mizuho Corporate Bank, which were created through the integration of Dai-Ichi Kangyo Bank, Fuji Bank and the Industrial Bank of Japan.
The computer problems led to hundreds of thousands of delayed money transfers, a few have which have yet to be completed. In addition, thousands of the banks’ customers were double-billed for utilities charges and 7,000 automated teller machines malfunctioned.
The FSA plans to send in officials with knowledge of computer systems and technologies to obtain a full picture of Mizuho’s problems, the officials said.
The investigation is expected to look into the causes of the malfunctions, the banks’ crisis preparations, measures taken before and after the trouble occurred, and steps taken to prevent a recurrence of the problem.
The FSA hopes the inspection will make it better able to deal with bank mergers and consolidations, as other major banks, including those of Sumitomo Mitsui Banking Corp., are moving to fully integrate their computer systems.
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