1. Investigators plan to question Adachi in connection with the bad loan problems of other jusen firms, sources said. 2. Sueno was the first executive of the major borrowers from jusen firms to be arrested. 3. Investors turned sellers of real estate stock, anticipating property collateral held by jusen firms would create over-supply in the property market, one broker said. 4. The Sankei Shimbun and Tokyo Shimbun newspapers reported that one of the seven failed jusen firms valued real estate offered by debtors as collateral at above-market value. 5. Those banks have written off their loans to jusen firms, which went bankrupt with huge bad loans. 6. Last June, the Japanese parliament adopted new regulations to ease the liquidation of the jusen firms. 7. Tax authorities may also investigate major commercial banks that set up the jusen firms to obtain evidence of any irregulatities involving the housing loan companies. 8. The agency, Housing Loan Administration Corp., is seen likely to face difficulty in disposing of such property originally held as collateral for loans from jusen firms. 9. The Housing Loan Administration is a semi-governmental vehicle set up last year to liquidate failed seven jusen firms. 10. The founder banks have been writing off bad loans to jusen firms as losses. |
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