Japan ministries bar Dentsu, others from bids for 9 months over Olympic scandal (updated)
15/02/2023 07:28
(Adds background throughout, Dentsu comment)
TOKYO, Feb 15 (Reuters) - Japanese ministries said on
Wednesday that advertising giant Dentsu Inc and two other
companies linked to a Tokyo 2020 Olympics corruption scandal
will be unable to take part in bids for contracts for nine
months.
Prosecutors last week arrested an ex-Tokyo Olympic official
and executives at the three advertising and event-planning firms
in connection with the suspected rigging of bidding for
Games-related events. urn:newsml:reuters.com:*:nL4N34O10X
The arrests came after months of investigations into
suspected corruption in the planning and sponsorship of the
Games, held in 2021 after being postponed for a year because of
the coronavirus pandemic.
The industry ministry, foreign ministry and education
ministry all said in filings on their websites that the three
companies would be barred from participation in bidding for
projects for nine months from Wednesday.
Media had reported on Tuesday that the companies would not
be allowed to participate in projects from the Cabinet office
and various ministries for nine months.
Dentsu Inc, whose parent company is Dentsu Group, said in an
email that it took the situation seriously.
"We will respond appropriately in accordance with the
decision," it said.
The other two companies banned form bidding are Cerespo Co
9625.T and Fuji Creative Corporation, a subsidiary of Fuji
Media Holdings Inc 4676.T . Officials at both said they were
not able to make any immediate comment.
In August, Haruyuki Takahashi, a former member of the Tokyo
2020 Olympics board and before that a Dentsu executive, was
arrested on suspicion of receiving bribes from Olympic sponsors.
Media previously reported that prosecutors late last year
raided the offices of the country's biggest advertising agencies
including Dentsu, Hakuhodo Inc and ADK Holdings Inc on suspicion
of colluding to rig bids and orders for Olympics-related events
worth an estimated 40 billion yen ($305 million)
Executives from ADK, clothing retailer Aoki Holdings and
publishing firm Kadokawa have also been arrested in connection
with the bribery scandal.
(Reporting by Kantaro Komiya; Writing by Elaine Lies; Editing
by Christopher Cushing, Robert Birsel)
((elaine.lies@thomsonreuters.com; +81-3-4563-2748; Reuters
Messaging: elaine.lies@thomsonreuters.com))