Japan’s financial regulator vowed to take action against Mizuho Financial Group Inc. (8411) for system malfunctions that prompted the head of the company’s lending unit to decline a top post at the nation’s banking lobby.
Satoru Nishibori, president of Mizuho main banking unit, will decline the chairmanship at the Japanese Bankers Association starting April 1, he said yesterday at a press conference in Tokyo, according to spokeswoman Masako Shiono. A computer glitch at the lender delayed transactions valued at 829.6 billion yen ($10 billion).
Mizuho is studying the cause of the problem that started on March 15, four days after the country’s most powerful earthquake, and delayed 1.16 million transactions. The Financial Services Agency will take action against Mizuho after the system outages affected its automated teller machines, Financial Services Minister Shozaburo Jimi said.
“It’s extremely regrettable as banks are highly public,” Jimi said at a press briefing today.
The bankers association announced in September that Nishibori would replace Masayuki Oku, who is also chairman of Sumitomo Mitsui Financial Group Inc. (8316) The banking group is scheduled to hold a regular press conference at 3 p.m. in Tokyo.
“The chairman plays a role in leading Japanese banks overall, which is a very large responsibility,” Nishibori said yesterday at the briefing, according to Shiono. “To be honest, I don’t think it’s appropriate to assume the post from April.”
Some services at ATMs on site at Mizuho Bank’s 440 branches will resume today, it said.
The breakdowns follow a record 9-magnitude earthquake that struck Japan on March 11, triggering a tsunami and radiation leaks at a nuclear plant north of Tokyo. The system failure isn’t related to the earthquake, Nishibori said March 17.
Mizuho shares rose as much as 6.5 percent to 148 yen in Tokyo Stock Exchange trading as bank stocks rallied on signs the nuclear crisis is easing.
The benchmark Nikkei 225 (NKY) Stock Average has fallen about 10 percent since March 10, the day before the earthquake. The decline in the stock market will have a limited effect on the capital of the country’s banks because they are sufficiently capitalized, Jimi added.
Satoru Nishibori, president of Mizuho main banking unit, will decline the chairmanship at the Japanese Bankers Association starting April 1, he said yesterday at a press conference in Tokyo, according to spokeswoman Masako Shiono. A computer glitch at the lender delayed transactions valued at 829.6 billion yen ($10 billion).
Mizuho is studying the cause of the problem that started on March 15, four days after the country’s most powerful earthquake, and delayed 1.16 million transactions. The Financial Services Agency will take action against Mizuho after the system outages affected its automated teller machines, Financial Services Minister Shozaburo Jimi said.
“It’s extremely regrettable as banks are highly public,” Jimi said at a press briefing today.
The bankers association announced in September that Nishibori would replace Masayuki Oku, who is also chairman of Sumitomo Mitsui Financial Group Inc. (8316) The banking group is scheduled to hold a regular press conference at 3 p.m. in Tokyo.
“The chairman plays a role in leading Japanese banks overall, which is a very large responsibility,” Nishibori said yesterday at the briefing, according to Shiono. “To be honest, I don’t think it’s appropriate to assume the post from April.”
Some services at ATMs on site at Mizuho Bank’s 440 branches will resume today, it said.
The breakdowns follow a record 9-magnitude earthquake that struck Japan on March 11, triggering a tsunami and radiation leaks at a nuclear plant north of Tokyo. The system failure isn’t related to the earthquake, Nishibori said March 17.
Mizuho shares rose as much as 6.5 percent to 148 yen in Tokyo Stock Exchange trading as bank stocks rallied on signs the nuclear crisis is easing.
The benchmark Nikkei 225 (NKY) Stock Average has fallen about 10 percent since March 10, the day before the earthquake. The decline in the stock market will have a limited effect on the capital of the country’s banks because they are sufficiently capitalized, Jimi added.
No comments:
Post a Comment