Kobayashi Pharmaceutical, a major Japanese dietary supplement maker, is facing a crisis as up to 80 deaths have been potentially linked to its cholesterol-lowering supplements containing red yeast rice. The company’s chairman and president, both belonging to the founding family, have announced their resignation following a damning external report accusing the company of failing to prioritize consumer safety and acting with an “insufficient sense of urgency”.
The scandal began in March when the company recalled three brands of dietary supplements due to customer complaints of kidney problems. Further investigation revealed potentially toxic acid produced by the mould at one of its factories. As the government inspected the firm’s facilities, Kobayashi Pharmaceutical admitted to probing 80 deaths possibly connected to its pills and investigating if other organs were affected.
The external report by a team of lawyers criticized the company for not immediately recalling the products and reporting the incident to consumers. The new president, Satoshi Yamane, has been appointed to lead the company, while the outgoing president, Akihiro Kobayashi, will stay in an executive role to manage compensation-related matters. The company has expressed its commitment to taking responsibility for any harm caused by its products.
The scandal has raised concerns about the safety of dietary supplements in Japan and the need for stricter regulations to protect consumers. Kobayashi Pharmaceutical’s reputation has been severely damaged, and the resignation of its top executives is seen as a necessary step to restore trust in the company and ensure the safety of its products.
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