Chairman Origuchi meets the press for 2 and half hours only to guard himself

   Masahiro Origuchi, Chairman & CEO of Goodwill Group, Inc., the parent company of Comsn, Inc., the major home nursing service company which has virtually been ordered by authorities to close down its business after being accused of "circumventing punishment", finally met the press on June 8, 2007. At the press conference which lasted for two and half hours, Origuchi bowed his head many times apologetically, but he only guarded himself by making such remarks as "people in the field were to blame" and "gave the priority to serving the clients".

   The press conference started at 3 p.m. on the 34th floor of Tokyo's Roppongi Hills building that houses the group. In dark suits with a navy blue necktie and flanked by four of his executives, Origuchi appeared to be remorseful. He bowed and said, "I am sorry from the heart for causing a great deal of trouble."

President of Comsn resigns, but Origuchi stays put although he was aware of the matter

Origuch, Chairman of Goodwill Group (right) and Higuchi, President of Comsn (left) at the press conference

   At the outset of the press conference, Origuchi passed the microphone he held in his hand on to Koichi Higuchi, President of Comsn who was sitting by him, saying, "I will have Higuchi explain about what went on so far." Higuchi explained about reporting of the closure of offices that were involved in wrong doing in order to "circumvent punishment" and said that he "instructed (the reporting of the office closures) because he thought it would be a great problem if the guilt-by-complicity system was applied." Origuchi, asked by a reporter if he knew about what Higuchi was doing, said he received reports and he knew. He added, however, he was told what Higuchi was doing was legal when he received the reports. He indicated he thought there was nothing wrong as long as law was not violated.

   Supplementing to Origuchi's statement, Higuchi said, "It was I who strongly persuaded Origuchi by telling him there was nothing legally wrong." He said he would resign to take the responsibility. Origuchi said he was needed to continue the management of the group and that he would continue to hold the position to improve the situation. As for his position as vice chairman of Nippon Keidanren, Origuchi indicated he had no intention of resigning by saying the matter would be left for Keidanren to decide.

   Origuchi said he would decline the chairman's remuneration from the group for one year. A reporter noted that not receiving the remuneration would not suffice to take the responsibility. Origuchi replied the reporter might be right. But he added that the wrong doing was of a consequential nature and that it was not anything intentional. He said he would like to be given a chance to correct the situation.

Unfair charges rooted from lack of knowledge

   Regarding the unfair claims by Comsn offices for payments from insurance money for rendering the nursing service, a Comsn executive at the press conference said it was due to he lack of necessary knowledge at the offices. Higuchi bowed his head repeatedly to apologize for not supervising sufficiently. He indicated the payment claims were made without his knowledge. A reporter asked if the questionable claims could have been avoided had the company not imposed excessive work on the employees. A Comsn executive denied that the company's work was any harder than other ordinary firm. Origuchi nodded.

   About the selling of Comsn to other companies in the same group, the executives expressed the readiness to freeze the selling proposition at the directive of the Ministry of Health, Labour and Welfare. They, however, did not clearly deny the transfer of the business within the group by saying that "the matter would be studied further" and that "it would be possible the business will remain within the group if understanding could be obtained".

   Higuchi also disclosed that preparations had been made to transfer the subsidiary in case Comsn was ordered to close its business. He said Origuchi was informed of the preparation. Origuchi said he was told "it was legal". A reporter pointed out that the top executives could not make any excuse if they were accused of making preparations to circumvent punishment. There was a silence which lasted for about 20 seconds, and then a reply came that "it might be judged so as a consequence". Stressing that nursing service did not bring out much profit, the executive added there was no bad intention of doing things only for money.

    A question was put to them repeatedly as to how the nursing service would be dealt with as the group, the executive replied the group would continue the nursing care business even if Comsn had to be sold to companies outside the group, pointing out his experience of giving nursing care to his own father and the importance of contributing to the society.

   Origuchi repeatedly said "sorry" during the press conference, and a reporter said also repeatedly, "You are not really sorry," apparently without being intended to be a question. Origuchi said, "We have to make a fresh start for everything. We will make our utmost effort." The statement was taken to mean he was needed by the group.

   He was asked how much he was worth in total, but his reply was he "did not know".