Top executives of the 15 major banks seeking public funds should step down if they fail to guide their respective institutions through sweeping restructuring programs, the head of the Financial Reconstruction Commission indicated Tuesday.
Hakuo Yanagisawa's remarks came a day after the heads of the banks submitted reform plans to the FRC that included writeoffs of 9.3 trillion yen in bad loans by March 31, the end of fiscal 1998.
In exchange for the public funds, the 15 banks have promised a wide range of restructuring efforts, including job cuts and selling off property and other assets.