The head of the Tokyo Stock Exchange (TSE) resigned today, taking the blame for a series of problems that raised concerns about the dependability of transaction systems at Asia's biggest bourse.
TSE President Takuo Tsurushima resigned along with two other directors, and Chairman Taizo Nishimuro will double as president from tomorrow, the TSE said after a board meeting.
The resignation of Mr Tsurushima (67), follows a series of problems with the bourse's trading systems which the financial regulator, the Financial Services Agency (FSA), said could jeopardise the exchange's own public share listing planned for next year.
The TSE, the world's second-biggest bourse, has admitted that trouble with its stock trading system, developed by Fujitsu Ltd., contributed to a $349 million blunder by Mizuho Financial Group Inc. unit Mizuho Securities on December 8th.
Separately, a system failure last month halted trading at the exchange for almost a full day, fanning concerns that it may be straining under the heavy increase in volume that has accompanied the Japanese share market's recent surge to five-year highs.
The FSA last week ordered the TSE to improve operations by taking steps to prevent a repeat of the Mizuho-related glitch and to clarify responsibility for the problem.
Mr Tsurushima said the TSE lacked crisis management and it needs a drastic re-examination of such measures.
"We needed to realise that even though computer systems handle trading procedures, such computers are run and managed by humans. Our recognition of this point was weak," Mr Tsurushima told reporters.