The founder and chief executive of Japanese Internet company Livedoor, Takafumi Horie, was charge with securities violations on Monday for allegedly circulating false information to boost the price of a subsidiaries’ stock, The New York Times reports.
On Monday, Tokyo prosecutors issued a statement that said Horie, 33, and three other former Livedoor executives had been charged with bolstering sales and profits at Livedoor Marketing, a company subsidiary, The Times reports.
“The key to Livedoor’s rapid growth was actually criminal activities that damaged the fairness of securities trading,” the statement read. “This case is just the tip of the iceberg. We will continue a thorough investigation to bring everything to light.”
Horie could face up to five years in prison and a fine of more than $42,000, if found guilty, The Times reports.
For more, read Livedoor CEO Steps Down.
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