Japan Wind Development Co., a wind-farm developer, said it will cut President Masayuki Tsukawaki’s compensation by 30 percent for three months after information he gave to two recipients resulted in insider trading cases.
“Important facts that became the basis of these insider trading cases were passed by President Masayuki Tsukawaki to the recipients in his exchanges to explain the current situation of our company,” it said in a statement today. A company committee “agreed a board meeting should give him a strong warning to be more careful managing information including important facts, and cut his executive compensation 30 percent for three months.”
Officials at Japan Wind, which posted today’s statement on its website, weren’t available for comment when Bloomberg News tried to call the company’s office after regular business hours. The release was also posted on the Tokyo Stock Exchange website.
The Securities and Exchange Surveillance Commission on Feb. 3 said one person sold 50 shares for 9.2 million yen ($114,000) in June 2010 after learning from an executive that Japan Wind was set to be put on a stock-exchange watchlist. The person, who wasn’t identified by the commission, was ordered to pay a 6.5 million yen fine, according to the Financial Services Agency.
Another individual sold 470 shares for about 86.6 million yen, also in June 2010, after receiving information from an executive of the company, the watchdog said on March 28.
Japan Wind said its compliance committee probed the cases that were announced by the commission on Feb. 3 and March 28.
Tsukawaki had sought “continued support” for Japan Wind in 2010 when the company “was responding to frequent queries from business partners because of various issues,” it said.