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KDDI: 99.7% of Advertising Business Revenue Was Fictitious Transactions

TOKYO - KDDI announced the results of an investigation into an accounting fraud involving its subsidiaries, revealing that 99.7% of revenue in its advertising agency business was generated through fictitious transactions.

According to a special investigation committee, KDDI subsidiary Biglobe and its own subsidiary G-Plan repeatedly conducted fake transactions by pretending to receive orders from non-existent advertisers.

The misconduct continued from at least August 2018 through December 2025, with 246.1 billion yen—equivalent to 99.7% of the advertising business’s total sales—found to be fictitious, while 32.9 billion yen was reportedly diverted outside the company.

The investigation concluded that two employees of G-Plan were involved in the wrongdoing, determining that the case was not an organized scheme.

Source: FNN

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