Deutsche Bank Tokyo Employee Arrested as Firm Faces Penalty

An employee of Deutsche Bank AG’s Japanese brokerage unit was arrested today on suspicion of bribery as the securities watchdog recommended penalties against the firm for excessive entertainment spending.

Shigeru Echigo, a director of Deutsche Securities Inc.’s pension solution sales department, is suspected of entertaining a client at a Mitsui & Co. unit in exchange for purchases of investment products, a Tokyo Metropolitan Police official said, asking not to be named in accordance with its policy. A former Mitsui pension executive was also detained, the official said.