Osaka police have arrested a former Mainichi Shimbun employee on suspicion of defrauding the newspaper of about ¥7.4 million through fictitious pamphlet-printing contracts, Kyodo News reported.
The suspect was identified as Sadatoshi Ishii, 58, a resident of Amagasaki, Hyogo Prefecture. Police have not disclosed whether he admits or denies the charge.
Investigators allege that between February and June 2021 he proposed sham projects, including the production of a university pamphlet. The newspaper paid out about ¥7.4 million in three installments as order fees, according to the allegation.
Ishii had left the company in February 2020, police and other sources said. The payments were made after his departure.
The newspaper's president's office said in a statement that it had conducted an internal investigation. It said it was reviewing its checks on this kind of transaction and dealing with the matter strictly.