Shigenobu Nagamori, the 81-year-old founder of Nidec, has stepped down as chairman following the discovery of accounting irregularities that damaged the Japanese electric motor maker's reputation. The resignation highlights growing scrutiny of his aggressive expansion tactics.
Nidec, the world's largest maker of mini-motors, produces a wide range of components for consumer electronics, cars, and data centers. The company announced on Friday that its 81-year-old founder, Shigenobu Nagamori, has voluntarily resigned as chairman. Chief Executive Officer Mitsuya Kishida will succeed him, while Nagamori remains as chairman emeritus and stated he will "remain committed to the further improvement of the Nidec group."
Born in 1944, Nagamori's bold strategies turned Nidec into a $15 billion enterprise. However, a series of suspected improper accounting practices has come under intense review, leading to delayed filings, credit rating downgrades, and the potential for delisting from the Tokyo Stock Exchange. These issues stem from the company's growth-at-all-costs mentality, which has now drawn significant criticism.
The resignation occurs amid broader calls for stronger corporate governance at Nidec, following the spate of accounting scandals that have eroded investor confidence.
