A committee investigating Toshiba Corp. 6502, -2.45% officials’ actions leading up to the annual shareholders’ meeting in July 2020 said it didn’t find former Chief Executive Nobuaki Kurumatani and other executives to be in breach of duty of care.
Toshiba said Friday that it received a report from its governance enhancement committee and disclosed the report.
The committee said in the report that it is important for Toshiba executives to refrain from becoming overly dependent on government authorities while noting that it is necessary for the company to receive advice from the authorities that have jurisdiction over its business.
Toshiba established the committee in August to clarify the responsibilities of its officials after a team of investigators concluded that the shareholders’ meeting wasn’t conducted fairly.
The investigators said that Toshiba requested support from Japan’s Ministry of Economy, Trade and Industry to deal with activist shareholders, and that the company and METI officials acted together.
The investigators said that Toshiba exerted inappropriate influence on shareholders and effectively attempted to prevent its shareholders from making a proposal or exercising voting rights.