The use of slush funds in the construction industry to try to win orders behind closed doors has been highlighted again with the recent arrests in connection with alleged tax evasion at an Oita-based consultant company.
Prosecutors arrested five suspects and seven others on Feb. 10, including 65-year-old Norihisa Oga, president of consultant company Daiko.
Oga, who doubles as president of a Daiko-affiliated interior work firm called Light Black, allegedly conspired with the other suspects to evade corporate taxes totaling ¥292 million by failing to declare income of ¥976 million during two business years through May 31, 2006.