Nomura CEO Takes Pay Cut Amidst Employee Criminal Charges

Following alarming criminal allegations against a former employee, Nomura's CEO, Kentaro Okuda, has announced a voluntary pay cut as part of the bank's response to the incident involving attempted murder and robbery of clients. This move, along with disciplinary actions against other executives, aims to reinforce trust and responsibility at the financial institution.

In a recent incident that has raised serious concerns about client safety, Nomura CEO Kentaro Okuda has voluntarily agreed to a short-term pay cut of 30% for three months, following the alarming charges against a former employee. The employee is facing accusations of robbery of bank clients, attempted murder, and arson related to their homes.

The former staff member reportedly targeted clients and stole money during a visit on July 28 before allegedly setting fire to their residence. Nomura responded promptly by terminating the employee on August 4 after confirming the allegations. In October, the police arrested the individual, and formal charges were filed by the Hiroshima District Public Prosecutors Office on November 20.

Nomura has since issued an apology to the affected clients, expressing "heartfelt sympathy" for the distress caused by the incident. Alongside Okuda, nine other bank executives have also agreed to return 20% to 30% of their salaries over the same period as a gesture of accountability.

In a statement, the bank emphasized its commitment to ensuring that similar incidents do not occur in the future. They outlined a series of new protocols including stricter management of client visits and the requirement for employees to take continuous breaks, aimed at detecting and preventing any potential misconduct.

The bank has stated that it takes this situation very seriously and is implementing "more rigorous and effective measures" to ensure clients' confidence in their services. With a significant presence in about 30 countries and a focus on wealth management and investment banking, Nomura seeks to restore trust after this troubling event.