Ex-Suntory CEO Niinami: fully cooperating with investigation

Ex-Suntory CEO Niinami: fully cooperating with investigation

Suntory Holdings CEO Takeshi Niinami, a prominent figure in Japan’s business landscape, has resigned following a police investigation into his purchase of a supplement that may have breached the country’s strict drug laws. Niinami, known for his outspoken views and influential role in Japanese economic policy, stepped down on September 1 after the company announced that he was under investigation [1].

The Tokyo Shimbun reported that police in Fukuoka prefecture are investigating whether supplements containing cannabis components were sent to Niinami’s home, a probe linked to a man arrested in July. The supplements allegedly contained THC, the psychoactive component of cannabis, which is illegal in Japan. CBD, a separate compound from the cannabis plant, is legal in Japan [1].

Niinami, who has been a key figure in expanding Suntory’s revenue and profits, joined the company in 2014 following its acquisition of U.S. spirits company Beam for $16 billion. He resigned after informing the company on August 22 that he was the subject of a police investigation [1]. The company stated that Niinami believed the supplements were legal when he purchased them.

Suntory President Nobuhiro Torii expressed his respect for Niinami and noted that he would be fully helming the company. According to Tokyo Shimbun, police questioned Niinami and searched his Tokyo home, but no illegal drug possession or use has been confirmed [1].

Suntory, which produces whisky, beer, and soft drinks like Orangina, is not publicly traded. However, shares in its listed unit, Suntory Beverage & Food, which manages non-alcoholic beverages and food products, ended Tuesday up 3% [1].

Niinami, a graduate of Harvard Business School, is chair of the powerful Keizai Doyukai business lobby. His resignation comes amidst a broader trend of Japanese executives facing legal issues related to drug laws, including the sacking of Olympus Corp CEO Stefan Kaufmann and the arrest of Toyota Motor executive Julie Hamp [1].

References:
[1] https://www.fastcompany.com/91396416/ceo-japans-suntory-takeshi-niinami-resigns-after-investigation-into-illegal-supplements