Nidec admits to 844 quality control cases

Nidec Corp, a Japanese motor manufacturing company, has admitted to 844 instances of quality control misconduct over the past ten years, according to an internal investigation released on Friday. The scandal-ridden company's CEO, Mitsuya Kishida, deeply bowed during a news conference to apologize to investors, subsidiaries, customers, and society at large.

Kishida emphasized that the entire organization is striving to review and enhance their quality controls. Most of the cases involve altering product materials or manufacturing processes without proper authorization. Some involved falsifying product tests and false labeling, including the origin of components. Officials stated that the overwhelming majority of these cases were committed by workers under immense pressure to meet targets and perform well.

The investigation, which began following the discovery of accounting fraud last year, did not disclose specific details of the misconduct, which dates back to 2012. Kishida noted that while the problems reflect a fundamental issue in manufacturing, no safety hazards have been identified as a result of the misconduct, and there will be no widespread recalls.

The company, headquartered in Tokyo and employing over 100,000 individuals, produces motors of various sizes for applications such as pumps, air conditioning systems, robotics, and electronic devices. Established in 1973 by billionaire Shigenobu Nagamori, Nidec was initially operated from a small hut in Kyoto.