Suntory Holdings has announced that its Chairman and CEO Niinami Takeshi has resigned. Niinami became the target of a police probe following his purchase of questionable supplements.



Suntory Holdings President Torii Nobuhiro and other executives said at a news conference on Tuesday that Niinami had stepped down on Monday.



The company revealed that Niinami reported he was subjected to a police investigation on August 22.



Niinami has explained he purchased the supplements with the understanding that they were lawful.



The company judged that Niinami's actions, which it said showed a lack of awareness about the handling of supplements, make him unfit for the key post of chairman.



Executives discussed the matter with Niinami on Monday after which Niinami reportedly offered his resignation for personal reasons.



At the start of Tuesday's news conference, Torii apologized for the public disturbance. He said it goes without saying that top managers of Suntory Group must not breach laws and regulations, and must take appropriate care when purchasing supplements.



He added that Niinami's actions made him unqualified to serve as representative director and chairman.



Niinami was the first individual outside Suntory Holdings' founding family to become president. He strengthened the company's overseas businesses during his tenure, which spanned more than a decade.



Niinami is also a member of the Japanese government's Council on Economic and Fiscal Policy, and has served as chairman of the Japan Association of Corporate Executives since 2023. He has made notable efforts to raise workers' wages.



The resignation of one of Japan's most prominent business leaders, stemming from a police probe, has sent shock waves through business circles.


Suntory president calls Niinami's actions very serious in terms of governance



Suntory Holdings President Torii Nobuhiro on Tuesday described the developments surrounding Chairman and CEO Niinami Takeshi as extremely serious in terms of corporate governance.



Torii said Niinami explained during a hearing with an outside lawyer that he was investigated in connection with supplements he had purchased with the understanding that they were lawful. Torii said his understanding is the police investigation is still underway.



The president said the company judged that Niinami's actions, which show a lack of awareness about supplements, make him unqualified as representative director and chairman.


Senior Suntory official explains timeline of Niinami's resignation



Suntory Holdings Executive Vice President Yamada Kenji has explained how the resignation of Chairman and CEO Niinami Takeshi unfolded.



He said Niinami informed the company that he had been investigated by police on August 22 over his purchase of supplements.



Yamada said later that day, a meeting was called to discuss how to deal with any possible fallout from the incident.



On August 26, an extraordinary board meeting was held where Niinami personally gave an explanation.



Two days later, the opinions of all board members excluding Niinami were heard.



On Monday this week, Niinami, who had just returned from overseas, attended a meeting where the views of the board members were relayed to him. Yamada said Niinami offered his resignation for personal reasons and that his resignation was accepted.
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Quiz 1:
Who became the target of a police probe?
A. Torii Nobuhiro
B. Suntory Holdings
C. Japanese government's Council on Economic and Fiscal Policy
D. Niinami Takeshi

Answers: Quiz 1: D

Quiz 2:
Who explained during a hearing that he was investigated in connection with supplements he had purchased?
A. Japanese government's Council on Economic and Fiscal Policy
B. Suntory Holdings Executive Vice President Yamada Kenji
C. Niinami Takeshi
D. Torii Nobuhiro

Answers: Quiz 2: C

Quiz 3:
How many days after being informed about the police investigation did Niinami offer his resignation?
A. 5 days
B. 6 days
C. 4 days
D. 7 days

Answers: Quiz 3: B