The court-appointed trustees of Nova Corp. have given up trying to rehabilitate the nation’s largest language-school chain and have chosen a Nagoya-based company to take over part of Nova’s business. Although the trustees’ quick decision suggested that a business solution was at hand and the new company says it will “basically hire” all Nova teachers and workers who want a job with it, the problem of unpaid salaries for Nova’s 7,000 workers, including some 4,000 foreign teachers, remains. Moreover, there are no prospects of refunds for unused lesson tickets still held by Nova students.

For the time being, G.education Co., a wholly owned subsidiary of the G.communication group, will take over 30 of about 670 Nova branches. G.education, which runs cram and English schools, hopes to take over 200 branches between six months and a year from now. But this will be far from satisfactory for some 300,000 Nova students. In fact, the G.communication head says it will be difficult to reopen the remaining branches.

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