Wacoal Corp. has asked Kokudo Corp. to annul a contract under which it bought some of Kokudo's shares in Seibu Railway Co. before the railway company announced that its financial statements were incorrect, Wacoal officials said Thursday.
Wacoal has also demanded that Kokudo, the largest shareholder in Seibu Railway, repay the money it spent on the Seibu shares because it believes Kokudo breached its trust, the officials said.
Kokudo and Seibu Railway are suspected of having falsified information in their financial statements by under-reporting Kokudo's shareholdings in the railway operator.