Two Bureaucrats Arrested Over Subsidy Fraud
Tokyo police have arrested two economy ministry officials on suspicion of abusing a subsidy program designed to help businesses affected by the coronavirus pandemic.
Police say Sakurai Makoto and Arai Yutaro are accused of applying for subsidies through a shell company last December to gain about 50,000 dollars.
Small- and mid-sized businesses that saw sales drop are eligible to apply for a lump sum of up to 54,000 dollars to help pay the rent.
A relative of Arai is registered as the shell company's president. Investigators say the suspects submitted fake documents showing their homes and their parents' places as offices for which they were paying rent.
Police also say the suspects, both 28, are former high school classmates and spent the money they illegally obtained on luxury wristwatches and other items.