Osaka, Aug. 18 (Jiji Press)–A Japanese court on Wednesday found a former Sekisui Chemical Co. <4204> employee guilty of leaking the company’s secret information related to smartphone technology to a Chinese firm.
Osaka District Court sentenced Takashi Kubota, 46, to two years in prison, suspended for four years, and ordered him to pay 1 million yen in fines. He was charged with violating the law for preventing unfair competition.
“There is a need to deploy a powerful deterrent against the flow of confidential business information out of the country,” judge Tamotsu Kurihara said.
The judge pointed out that Kubota was in cooperative relations with the Chinese firm on a continuous basis. Although no real damage was caused by the information leakage, the misconduct could have substantially affected the Japanese company’s market share in the liquid crystal display business, the judge said.
According to the ruling, Kubota sent information on the production process for Sekisui Chemical’s conductive particles used for smartphone touch panels to the Chinese firm via email between August 2018 and January 2019.
The Chinese firm, ChaoZhou Three-circle Group Co., is a maker of components for telecommunications equipment based in Guangdong Province.