Recommendation of an Administrative Monetary Penalty Payment Order against an Employee of Aisin Seiki Subsidiary by the Securities and Exchange Surveillance Commission
Jan. 29, 2021
The Securities and Exchange Surveillance Commission (SESC) announced today that it has recommended that the Prime Minister and the Commissioner of the Financial Services Agency issue an administrative monetary penalty payment order to an employee of Aisin AW Co., Ltd. (hereinafter referred to as "Aisin AW"), a consolidated subsidiary of Aisin Seiki (hereinafter referred to as the "Company"), on the grounds that the purchase of Company shares by said employee who learned of the business integration between the Company and Aisin AW before the Company announced the integration on October 31, 2019, is deemed a violation of the Financial Instruments and Exchange Act (insider trading regulations). The Company and Aisin AW humbly accept the particulars and results of the investigation by the SESC and have taken strict measures against said employee following an internal investigation.
The Aisin Seiki Group has been making efforts to prevent insider trading by establishing insider trading regulations and educating employees through internal training sessions. We deeply regret that such an incident has occurred and sincerely apologize for the concern it has caused to our stakeholders. We accept the SESC's recommendation against the employee of the Company's subsidiary with gravity, and will strive to prevent a recurrence of similar misconduct by further strengthening our compliance system and reinforcing employee education and guidance.