Niigata Nippo Co. announced the dismissal of a former department head who misappropriated approximately 5.5 million yen from a foundation it manages. The funds were improperly withdrawn over 30 times from the general foundation "Niigata Expo Memorial Foundation" between 2022 and 2023, and the former department head explained that the money was used for family medical expenses and personal housing loan repayment. Although the full amount has been refunded, there may be further financial discrepancies discovered in future investigations.

The foundation was established in 1984 using surplus funds from the Niigata Expo held in 1983 and is responsible for selecting and awarding the "Prefectural Economic Promotion Award." Niigata Nippo has played an administrative role for the foundation since its inception. The investigation began following a notification that the foundation's board members had not been updated and that a review of the foundation's financial management was needed. This led to the eventual discovery of the misappropriated funds.

This incident marks a troubling pattern for Niigata Nippo, which also dismissed an employee in 2023 for embezzling approximately 17 million yen in membership fees. Senior Managing Director Yasuo Hayashi expressed deep concern regarding the recurrence of such troubling incidents, indicating a need for more rigorous oversight and accountability within the organization to prevent further financial misconduct in the future.