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Prosecutors Expected to Indict Kobe Steel in Doctored Data Scandal

Police in Japan have turned over to prosecutors evidence about fabricated quality reports at Kobe Steel Ltd.
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Police in Japan have turned over to prosecutors evidence about fabricated quality reports at Kobe Steel Ltd.

Sources tell Kyodo News that the company—but not four plant officials that have been implicated in the scandal—is likely to be indicted and fined.

Kobe has admitted last autumn that its employees falsified quality data for aluminum, copper and steel products made at multiple factories in Japan and shipped worldwide to more than 600 companies, including several carmakers.

The U.S. Dept. of Justice is conducting its own investigation into the case. Lawsuits in the U.S. were filed in March against Kobe and Toyota Motor Corp., which used some of the affected products in its cars. Toyota has declared that the materials involved did not compromise safety or performance.

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