Japanese steel scandal grows as Kobe admits more cases of falsified information
Kobe Steel announces further instances of faked inspections data as its shares get a hammering in Asian trading.
Japanese steel maker Kobe Steel has disclosed nine new cases of falsified information about products and materials it sold for use in cars, aeroplanes and a slew of other products, as the ongoing scandal escalated further on Friday (13 October).
The cases announced by the company include steel rods used in autos, among many other products made both in Japan and overseas.
They bring the total number of customers affected by such problems to more than 500, ranging from some of the world's biggest automakers to shipbuilders.
However, Kobe Steel's president Hiroya Kawasaki, said he did not expect product recalls because of the faked inspections data.
He said the company was focusing on pinpointing the cause of the problem, how to fix it and on confirming the safety of the products affected.
Other Kobe materials affected include steel powder, aluminium flat-rolled products and castings, copper strips and tubes and forgings.
Meanwhile, Kobe Steel's share price continues to slide, with the company having lost 40% of its value since the emergence of the scandal. At close of trading in Tokyo, its shares were down 8.73% to JPY805.
With Associated Press.
