Nidec’s New Quality-Fraud Scare Hits After Accounting Crisis — And Investors Have One Big Question
Suspected quality fraud at Nidec Corp. has prompted the company to prepare for an outside-led investigation, with a committee of external lawyers possibly taking the reins as early as May 13, Kyodo reported Tuesday. The compliance headache for the Japanese motor giant appears to be growing. According to Nikkei, there are allegations tied to motor parts, including over 1,000 instances connected to design changes and how they were managed. Awkward timing here. The report landed post-Tokyo close, leaving Nidec shares finishing 2.87% higher at 2,829 yen. Earlier, they'd spiked to 2,914 yen—a 2026 intraday peak—as sentiment shifted. Investors were starting to view the Kyoto-based group less as a new product risk and more as an accounting-cleanup play.