Livedoor Turns up Volume on Probe Denials

20 January 2006

Besieged Japanese internet company Livedoor has come out fighting against allegations of market manipulation that sent the Tokyo Stock Exchange into a tailspin earlier this week.

A statement issued by the company and its Livedoor Marketing subsidiary yesterday (Thursday) said it believed it had not broken disclosure rules over the acquisition of a publishing firm in 2004.

Livedoor's insists it did not disclose the acquisition of shares in Money Life by an affiliated investment fund because this was not considered a requirement under stock exchange listing rules.

At the same time Livedoor is faced with the apparent suicide of Hideaki Noguchi [WAMN: 19-Jan-6], a close associate of its ceo and founder Takafumi Horie.

Noguchi's body was discovered in an Okinawa hotel room after he had been questioned by Tokyo prosecutors.

Noguchi was vp of HS Securities, closely linked to Livedoor and also raided by investigators on Monday.

Data sourced from Financial Times Online; additional content by WARC staff