On June 19, 2014, the Oji Group received a cease and desist order and surcharge payment order from the Japan Fair Trade Commission for business dealings of corrugated sheets and boxes suspected of violating Article 3 (Prohibition of Unreasonable Restraint of Trade) of the Anti-Monopoly Act.
After carefully reviewing the details of these orders, the Oji Group has found certain elements to be unacceptable. As a result, today’s meeting of the Oji Group’s Board of Directors passed a resolution for the applicable subsidiaries to request hearing procedures on this matter from the Japan Fair Trade Commission.
In conjunction with this, a resolution was also passed for the applicable subsidiaries to petition to waive the enforcement of the cease and desist order.
The Oji Group will seek to achieve a fair resolution during the hearing process at the Japan Fair Trade Commission by asserting the perceptions of the Group with regards to the business dealings.
In fully recognizing the seriousness of this matter, the Oji Group will require a certain director and officers to voluntary return between 10% and 30% of their monthly compensation as follows.
Chairman, President, director in charge of relevant operations and officers in charge of relevant divisions
30% of monthly compensation returned for a 3-month period
Executive Vice President and officer in charge of relevant division
10% of monthly compensation returned for a 3-month period