Bic Camera Inc. Chairman Ryuji Arai may be fined ¥120 million by the Financial Services Agency for selling his stockholdings in the electronics retailer in connection with faulty financial documents that contained inflated profit figures, sources familiar with the matter said Saturday.
According to a probe by the Securities and Exchange Surveillance Commission, Arai sold about ¥6 billion worth of his holdings in Bic Camera in June 2008, when the electronics chain raised ¥11.7 billion in fresh capital through public stock offerings, the sources said.
In a first, the SESC is expected to recommend that the FSA fine Arai in connection with events related to false financial statements. The fine will be the highest amount ever imposed on an individual.