RMB Demands Faith's Statutory Auditors Investigate the Board Resolution to Reject RMB's Shareholder Proposal
June 16, 2021 at 06:45 am EDT
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On June 16, 2021, RMB Capital announced that it demanded that Faith Ltd. statutory auditors investigate the Company’s recent rejection of an RMB shareholder proposal for a spin-off IPO of Nippon Columbia. The Company’s board asserted that it did not accept the ruling of the court without providing any further reasoning in its press release on June 11, 2021 and continued to damage RMB’s shareholder rights. RMB stated that it believed the Company’s ignorance of shareholder rights posed a serious threat to the public listing system of companies in Japan, and even to capitalism in the country itself. To address this issue, RMB demanded the statutory auditors at the Company investigate the items and disclose their findings immediately to the general shareholders of the Company: i) details of the board meeting discussion that led to rejecting the proposal on May 18, 2021. ii) details of the individual board members’ statements at the board meeting; in particular, how Shigeyuki Mito advised the board in respect of the legitimacy of the proposal and the legal risk in rejecting it. iii) details of the individual statutory auditors’ statements at the board meeting; in particular, how Takako Sugaya advised the board in respect of the legitimacy of the proposal and the legal risk in rejecting it.
Faith,Inc. is a company mainly engaged in the contents business. The Company operates in three business segments. The Contents segment is engaged in the production of contents, the development and provision of delivery platform technology, the installment and operation of network systems, as well as the provision of contents delivery service to users. The Point segment is involved in the provision of point services. The Columbia segment is engaged in the planning, production and sale of sound source and videos, as well as the music copyright acquisition and management business. As of March 31, 2014, the Company had 16 subsidiaries and six associated companies.
FAITH, INC. 
