JAPAN - The All Japan Liquor Merchants Association is suing Credit Suisse and other parties for Y16bn ($136m) claiming it incurred severe losses after not being briefed on the risks of its pension fund making investments in foreign bonds.
In a suit filed at the Tokyo District Court, the association claimed it lost around Y14.4bn from such investments between January and May 2003, after a broker solicited investment via Credit Suisse.
The association claimed Credit Suisse and the broker gave them false information regarding the safety of investing in foreign bonds. It claimed they stressed foreign bonds were safe to invest in when they were in fact high risk financial products.
The sum being claimed was increased to cover commissions paid to the Swiss financial group as well as attorney fees, the association said.
The association's other tie with the courts came through its former secretary, Hideo Seki. He has been indicted on charges of breach of trust and embezzling Y25m in pension funds between October and December 1999.
Businesses are experiencing auto-enrolment data error rates of up to 50%, posing questions over the reliability of pension records, Pensionsync says.
A nationwide survey of committee and local pension board members of the Local Government Pension Scheme has revealed high levels of confidence in all areas of their responsibility.
UK inflation unexpectedly rose to 2.7% in August, beating analysts' expectations of a drop to 2.4% from 2.5% the previous month.