Business / Corporate

Former minister Hiroya Masuda to lead Japan Post after insurance scandal

Kyodo

Hiroya Masuda, a former minister of internal affairs and communications, will replace Masatsugu Nagato as president of Japan Post Holdings Co., effective early next year, a source familiar with the plan said Thursday.

Nagato, head of the former state-owned postal services group, Japan Post Insurance Co. President Mitsuhiko Uehira and Japan Post Co. President Kunio Yokoyama are set to step down to take responsibility for improper sales of insurance products.

Tetsuya Senda, deputy president of the insurance unit, will succeed Uehira, while Kazuhide Kinugawa, a senior managing executive officer of the parent company, will replace Yokoyama, according to the source.

On Friday, the Financial Services Agency will impose a three-month suspension of new sales of insurance products on Japan Post Insurance and Japan Post.

Separately, the Ministry of Internal Affairs and Communications, which supervises the postal group, will issue business improvement orders to the parent company and Japan Post.

Nagato, Uehira and Yokoyama will announce their resignations at a news conference slated for Friday.