CYC Management Co., a Japanese firm allegedly involved in a casino investment scam in which the victims have been defrauded of 53.77 million yen (approximately HKD 2.9 million), has been ordered by the Osaka District Court to pay the victims their full amount of damages.
Last July ten people in Japan filed a civil lawsuit against CYC seeking compensation of 53.77 million yen, claiming that they had been deceived to invest in a VIP gaming room linked to MGM Macao. On 16 April, the Osaka District Court ruled that the two shareholders of CYC must pay the full amount of 53.77 million yen for their fraudulent activities.
The plaintiffs’ attorney filed the civil lawsuit against CYC shareholders Kawai Hiroshi and Mochida Masaaki in July last year. According to Japanese media reports, since the defendants did not clarify whether they disputed the facts in the lawsuit, Judge Shinji Narita ultimately accepted the plaintiffs’ claims entirely and ordered the defendants to pay full compensation. The plaintiffs’ attorney told Allin Media that there should be no appeal against this civil judgment and that law enforcement may intervene to investigate.
The case involves approximately 700 Japanese investors, with a total amount reaching 10 billion yen (approximately HKD 539 million). CYC Management Co. is based in Macau and deceived investors under the guise of an investment in a chip leasing business for a MGM casino, defrauding amounts ranging from 2 million to 300 million yen from each investor.
Kawai Hiroshi later admitted to local newspaper Yomiuri Shimbun that the invested capital had indeed been lost. However, in July last year, he told Allin, “The reports by Japanese media are inaccurate; the fraud was actually committed by another Japanese person operating a company in Hong Kong and Macau.” Allin recently reached out to Kawai again regarding the compensation issue but received no response.
