EXCLUSIVE: Some 1,100 Sue Osaka Firm over Real Estate Investment

Osaka, Nov. 6 (Jiji Press)–A group of 1,191 people across Japan has sent a petition to a court seeking the return of about 11.4 billion yen from a company based in the western city of Osaka over real estate investment, Jiji Press has learned. The petition over Toshi-Souken Invest Fund Inc.’s alleged improper asset management related to its “Minna de Oya-san Series” investment products was mailed to Osaka District Court. According to the complaint, the company collected about 200 billion yen from a total of 38,000 people by promising that they could receive dividends if they invest in projects such as one for developing areas northwest of Narita International Airport in Chiba Prefecture, adjacent to Tokyo. An affiliate of Toshi-Souken Invest started to solicit investment in 2020, planning to open a large complex in fiscal 2024 through March this year. Partly due to a change in the project, however, the facility has yet to be completed, with dividend payments stalled. In June last year, the Osaka prefectural government ordered Toshi-Souken Invest to suspend some of its operations under the law on specified real estate joint business for failing to provide important information to investors. The affiliate was punished by the Tokyo metropolitan government. In the complaint, the individual investors said that the relationship of trust between them and the Toshi-Souken Invest side was completely destroyed due the business suspension order. Toshi-Souken Invest had told the individuals that it would return their investments if they cancel their contracts. But some who terminated their investment contracts have not been refunded, according to the group of petitioners. The parent company of Toshi-Souken Invest said, “We will respond in good faith once we receive the petition through the court.” END [Copyright The Jiji Press, Ltd.]