A former employee of the Tokyo Stock Exchange (TSE) and his father were convicted of insider trading Friday in a rare case that prosecutors say severely damaged public trust in the nation’s financial markets.
The Tokyo District Court handed suspended prison sentences to Keito Hosomichi, 27, and his 58-year-old father, Masato, after finding them guilty of violating the Financial Instruments and Exchange Act, in one of the few insider trading cases in the nation involving a stock exchange employee directly.
They were each sentenced to 18 months' jail, suspended for three years, and fined ¥1 million ($6,880). The father was additionally ordered to forfeit approximately ¥21.16 million in illicit profits. He filed an appeal on the same day to contest the verdict.
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