SAITAMA (TR) – Saitama Prefectural Police have arrested five persons who are suspected of using illegal means to raise nearly 900 million yen in investments for the purchase of rice, reports Jiji Press (June 3).
Thus far, police have accused Toshiaki Arai, a 37-year-old corporate executive for FFR Promote, and the other four suspects violating investment laws in raising 50 million yen from seven male and female investors in Tokyo and other locations between July, 2017 and April, 2018.
According to police, the suspects unlawfully guaranteed the principal of the victims’ investments and payment of dividends for a scheme that involved “bypassing agricultural cooperatives and obtained rice obtained direct from farmers.”
Police did not reveal whether the suspects admit to the allegations.
According to its web site, FFR Promote, which is based in Chichibu City, Saitama Prefecture, handles the production, sale, storage and transportation of agricultural products. One of the other suspects is 35-year-old Yutaro Tsuda, also a corporate officer.
According to police, the suspects solicited funds from investors by hosting seminars. They also organized barbecue parties and trips.
Police believe that the suspects collected a total of 880 million yen from 47 persons.