Jun Fujimoto resigns as Director, Universal Entertainment announces

Jenny Ortiz September 2, 2024

Universal Entertainment Corp. announced the resignation of its former President and CEO, Jun Fujimoto, from his position as a Director, effective August 30, 2024. This resignation comes just before an Extraordinary Shareholders Meeting scheduled for September 19, which originally included a proposal for Fujimoto’s dismissal. With Fujimoto stepping down voluntarily, the company has withdrawn the dismissal proposal from the meeting agenda.

Adjustments to shareholders meeting

The agenda for the upcoming shareholders meeting has been modified following Fujimoto’s resignation. Initially, two proposals were set for discussion: the dismissal of Fujimoto and the appointment of Tomohiro Okada as a new Director. With the withdrawal of the dismissal proposal, shareholders will now focus solely on the election of Tomohiro Okada, son of Universal’s founder Kazuo Okada, to the board.

Tomohiro Okada holds a 53.27 percent stake in Okada Holdings Ltd., Universal’s parent company, solidifying his influential role in the company’s future direction.

Fujimoto’s departure

Fujimoto’s resignation follows a ruling by the Tokyo High Court, which found him guilty of breaching his fiduciary duty. The court determined that Fujimoto had authorised the transfer of approximately $43.5 million (€39.4 million) from Universal Entertainment without proper justification and failed to adhere to the company’s internal protocols. Considering these findings, Universal Entertainment had initially planned to formally dismiss Fujimoto to maintain sound corporate governance and compliance. The company has indicated it may seek damages equivalent to the misappropriated funds.

The Okada family dynamic

The promotion of Tomohiro Okada to the board marks a moment in the ongoing saga of the Okada family. In 2017, Kazuo Okada was ousted from Universal Entertainment under similar allegations, leading to a public rift between father and son. The tension escalated further in 2022 when Kazuo Okada attempted a hostile takeover of Okada Manila, Universal’s Philippine integrated resort (IR), operated through its subsidiary, Tiger Resort, Leisure and Entertainment Inc. Following legal intervention, Kazuo Okada was officially removed from his executive roles at the resort.