Mitsubishi reports more falsified data as probe continues

Japan’s Mitsubishi Materials says it has found more cases of products shipped with possible falsified specifications as it probes a data-fabrication scandal that has affected more than 300 customers.

The disclosure is among the latest in a slew of scandals to rock Japan’s manufacturing industry. Similar lapses have been seen at Kobe Steel and Toray Industries, and incorrect final inspection procedures have been found at car makers Nissan and Subaru.

Mitsubishi Materials said on Tuesday its unit, Mitsubishi Cable Industries, shipped magnetic wire with possibly fabricated data to five customers, and it was checking the safety and performance of the products.

In November, Mitsubishi Materials said the same unit had inappropriately distorted data for rubber-sealing products, used in aircraft and cars. While no safety issues were identified in the earlier cases, the company said customers in Japan, the US, China and Taiwan may have received affected products.

Mitsubishi Materials president Akira Takeuchi said the firm had not found any evidence to suggest senior executives knew of the failings.

“I do not think there were instances of infraction of compliance issues based on instructions from headquarters.”

Mitsubishi Cable Industries president Nobuhiro Takayanagi said it did not look like it would be necessary to expand the probe beyond the past year being investigated.

“Even if the investigation period had expanded, it is unlikely we would see much more new additional cases,” Takayanagi said.

“That is a guess, taking into account that the products sold and the customers remain roughly the same.”

The company said it would not be able to finish the investigation by year-end, but would aim to issue a report on the causes of the scandal and the measures to prevent the recurrence as soon as possible.

Mitsubishi Materials GM Nobuyuki Suzuki said the company had not received any calls for replacements from customers or any notice that lawsuits had been filed against it.

Earlier in the day, Hitachi said it had installed more than 10,000 elevators that did not meet specifications it had submitted to the government, but added there were no safety concerns with the elevators.

Also this week, Japanese authorities raided the offices of two of the country’s largest construction companies for suspected collusion over contracts for an $80bn high-speed railway line.

Fretting about the fallout from the string of falsification and compliance scandals, nearly half of Japan’s companies had taken steps to strengthen internal controls or were planning to do so, a Reuters poll showed earlier in December.

THE COMPANY HAD NOT RECEIVED ANY CALLS FOR REPLACEMENTS FROM CUSTOMERS OR NOTICE OF LAWSUITS