MMC Cover-up Reaction

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Reaction to Cover-up

April 20. Japan Times reported that Vice President Michio Hori as been appointed as chairman replacing Takashi Usami. Wilfried Porth, from DaimlerChrysler AG, is Mitsubishi Fuso's current president.

April 16. Bloomberg reported that Mitsubishi Fuso Truck and Bus's Chairman Takashi Usami has resigned to take responsibility for the problem. He also offered condolences to the family of the woman killed in 2002. He started his career in Mitsubishi Heavy Industries, the original parent of Mitsubishi Motors and Mitsubishi Fuso. He was appointed CEO of Fuso in 2001.

April 14 and 15 2004. Japan's Transportation Minister Nobuteru Ishihara said that the government is going to file a criminal complaint alleging professional negligence in this matter. Moreover, Kyodo reports that the company has offered to settle the lawsuit brought on against it by the parents of the killed woman. The lawsuit amount was raised to about 160 million yens from about 6 million yens, 100 million of which is for punative damages. Mainichi reports that Mitsubishi Fuso has offered to pay 70 million yens (about 600,000 US dollars) to the unnamed insurance company that paid that amount to the husband of the deceased woman on behalf of the driver of the vehicle which killed her.

April 5, 2004. Asahi Shimbun reports that professional negligence will be the focus of Japanese police as they question MMC's senior management, and especially the managers related to the production of hub type D. It is speculated that hub type D was rushed into production for a minor model change without adequate testing because of competitors who were releasing their own new models around 1992. Type C was found to be lacking in durability for this minor model change and therefore, type D was designed and produced.

A few links in reverse chronological order.

MMC and Mitsubishi Fuso Apologies
Arrest of Fuso executives
Criticism of MMC by Governement, victims, lawyers
Fuso Trucks in Danger of Losing ISO 9001 Certification
Fuso Truck Hub and Wheel Defect Cover-up Background