Three investors in Chinese restaurant chain Totenko Co. were arrested on Tuesday for allegedly trying to manipulate the price of its shares by spreading unfounded news that it would be the target of a takeover bid.
The Tokyo Public Prosecutor's Office arrested Yoshikazu Horibe, a 52-year-old company executive from Nara Prefecture; Yoshiaki Matsuura, a 43-year-old company executive from Kawasaki, Kanagawa Prefecture; and 49-year-old Yasuo Matsuzawa from Tokyo's Shibuya Ward.
Working with officials from the government's Securities and Exchange Surveillance Commission, the prosecutors also searched the homes of the suspects.