Kyushu Railway, or JR Kyushu, said Wednesday that its jet ferry subsidiary covered up a water leak on a high-speed passenger ship linking Japan and South Korea for over three months.

The unit, JR Kyushu Jet Ferry, operated the Queen Beetle high-speed ferry linking the Hakata district of the city of Fukuoka and the South Korean city of Busan, despite the water ingress.

It found that the cover-up was ordered by the subsidiary's leadership and replaced its president, Wataru Tanaka, with board director Kenji Oba on Tuesday.