Ex-Mizuho official knew of loans to crime groups: bank exec

TOKYO, (PNA/Kyodo) — A retired deputy president of Mizuho Bank learned of its lending to organized crime groups in December 2010 but failed to take necessary corrective steps for more than two years, a Mizuho Bank executive said Friday.

An internal investigation found that the former deputy president in charge of legal compliance and several other senior executives knew of loans extended by a Mizuho group credit company but did nothing about it, noted Mizuho which is among Japan’s megabanks.

Okabe said the deputy president received a report about the transactions and at least three other executives were aware of the problem but the issue was never taken up by a board meeting or a management gathering.