TOKYO (Reuters) -Tokyo prosecutors have arrested SMBC Nikko Securities Vice President Toshihiro Sato for alleged market manipulation, the Nikkei newspaper said on Thursday.
Prosecutors will bring charges against the company and five executives, national broadcaster NHK said. Japan’s Securities and Exchange Surveillance Commission had sought charges against seven employees as well as SMBC Nikko.
On Wednesday the watchdog said the brokerage unit of Sumitomo Mitsui Financial Group Inc allegedly bought stocks through proprietary trading to push up prices and keep block trade deals from falling through.
Contacted for comment, SMBC Nikko said it was still gathering all the facts.
Sato could not immediately be reached for comment.
(Reporting by Rocky Swift and Miho Uranaka; Editing by Clarence Fernandez)
