An independent panel set by Sompo Holdings said Tuesday that a decision by executives at a nonlife insurance unit to resume business with Bigmotor in July last year, despite being aware of possible fraud in the used car dealer's insurance claims, was "too hasty and inappropriate."
In an interim report released by Sompo Holdings, the panel criticized executives at Sompo Japan Insurance, including President Giichi Shirakawa, for "lacking customer-oriented thinking" by giving priority to sales growth.
Sompo Japan had introduced damaged cars to Bigmotor, and the used car dealer, in turn, had allocated automobile liability insurance contracts depending on the number of vehicles introduced by the nonlife insurer.