The chairman and president of a major Japanese dietary supplement maker is set to step down as the company investigates up to 80 deaths that may be linked to dietary supplements intended to lower cholesterol.
Kobayashi Pharmaceutical, a well-known company in Japan, has been at the center of health concerns linked to over-the-counter tablets containing red yeast rice fermented with a mold culture.
The company’s board of directors External Reporting The company said Tuesday that it had failed to prioritize consumer safety and acted with “sufficient urgency” after doctors began reporting kidney problems between mid-January and early February, according to a report by a team of outside lawyers.
Red yeast rice has been used for centuries in foods, alcoholic beverages, and folk remedies throughout East Asia.
Medical studies have shown it may improve cholesterol levels, but warn that depending on the chemical composition of the ingredients, it may also pose a risk of organ damage.
Kobayashi Pharmaceutical announced that President Akihiro Kobayashi and Chairman Kazumasa Kobayashi, both from the company’s founding family, will step down.
In a statement, the company said the decision was made “to clarify management accountability for our series of actions related to the Red Yeast issue.”
The scandal erupted in March when the company recalled three nutritional supplement brands after customers complained of kidney problems.
The company later said it had detected possible toxic acids being produced by mold at one of its factories and that the government was inspecting its facilities.
And last month, The company said it was investigating 80 deaths in total. They are also investigating whether there was any harm to organs other than the kidneys, possibly related to the pills.
At the time, the government described Kobayashi Pharmaceutical’s delay in reporting the number of cases under investigation as “extremely regrettable.”
“Kobayashi Pharmaceutical has never before received such multiple reports of serious cases from doctors in such a short period of time,” the lawyers said in their report on Tuesday.
“Despite this, the company did not immediately consider disclosing this to consumers and did not act with sufficient urgency.”
The company should have immediately recalled the products and reported the incident, but decided to do so only after conducting an internal investigation, the lawyers argued.
Kobayashi Pharmaceutical’s new president is Satoshi Yamane, who was previously in charge of sustainability policy, the company announced.
The company added that outgoing president Kobayashi Akihiro has indicated his intention to take responsibility for any damages that may arise and will continue to manage compensation-related matters as an executive officer.
