Suntory Holdings has announced the resignation of CEO Takeshi Niinami following a police investigation into “supplements” that he is alleged to have purchased.
The Japanese group, which owns Suntory Global Spirits, said it viewed the matter as a “grave governance concern” and accepted Niinami’s (below) resignation yesterday (1 September) after determining his actions showed “a lack of awareness” for someone in a senior leadership role. While the legality of the supplements remains under investigation, Suntory emphasised that none of the products involved were from its own portfolio.
Niinami, who also holds the position of group chair, told Suntory two weeks ago he purchased a supplement believing it was legal, the company said.
Nippon TV reported that the departing CEO is suspected of importing supplements containing THC, the psychoactive compound in cannabis, from the US. He is said to have told police he believed the product was legal and that it had been sent to him unsolicited by a female acquaintance.
Niinami had led Suntory Holdings since 2014 and oversaw its global expansion, including the acquisition in April 2014 of spirits giant Beam Suntory, which has since been rebranded as Suntory Global Spirits.
The company apologised to customers and stakeholders for the concern caused by the matter.
Last month, Suntory Holdings flagged a reversal of the sales performance of its alcohol businesses in the first half of this year. The group’s alcohol operations, which include presences in beer and wine as well as spirits, saw their combined top line from the half year to the end of June finish down by 2.4%.
