federal grand jury has indicted two Fujikura Ltd. executives
for their alleged role in an international auto parts
price-fixing conspiracy, the U.S. Justice Department said.
The indictment, filed
in U.S. District Court in eastern Michigan, charges Ryoji
Fukudome and Toshihiko Nagashima with participating in a
conspiracy to fix prices of copper-intensive wire harnesses
sold to Tokyo-based Fuji Heavy Industries Ltd.s Subaru
vehicle line for installation in cars sold in the United States
Fukudome, who was
general manager of Fujikuras automotive marketing, and
Nagashima, who managed the companys wire harness center
in Ohta, Japan, and later global marketing, face maximum
penalties of 10 years in prison and $1-million criminal
distribute electricity to a vehicles electronic
components, wiring and circuit boards.
guilty to its role in the conspiracy in June 2012 and was
sentenced to pay a $20-million criminal fine (
amm.com, April 24, 2012).
alleges that for at least five years, Fukudome, Nagashima and
co-conspirators colluded during meetings in Japan to rig their
bids to Subaru and allocate the supply of wire harnesses sold
to Subaru. They continued to communicate in order to monitor
and enforce the collusive agreements.
Division is working closely with competition enforcers abroad
to ensure that there are no safe harbors for executives who
engage in international cartel crimes," Scott D. Hammond,
deputy assistant attorney general for the Antitrust
Divisions criminal enforcement program, said.
"Price fixing, bid
rigging and other fraudulent schemes harm the automotive
industry by driving up costs for vehicle makers and buyers,"
John R. Shoup, acting special agent in charge of the FBIs
Detroit division, said. The bureau has conducted a criminal
investigation of price fixing by auto suppliers for nearly two
Including Fukudome and
Nagashima, 11 companies and 18 executives have been charged in
the Justice Departments ongoing investigation into the
automotive parts industry. To date, more than $874 million in
criminal fines have been imposed and 14 individuals have been
sentenced to pay criminal fines and serve prison sentences.