TOKYO (TR) – Stefan Kaufmann, the previous CEO of medical tools maker Olympus Corp., referred to him as “Samurai-san.” But somewhat than upholding the bushido code of belief he led to Kaufmann’s downfall.
Earlier this yr, Tokyo Metropolitan Police arrested Samurai-san, a drug vendor, for violating the Stimulants Management Act. Throughout the investigation, police realized that Kaufmann was certainly one of his clients.
Final week, the corporate mentioned that Kaufmann had stepped down from his publish. In response to weekly tabloid Shukan Bunshun (Nov. 7), it was Samurai-san who got here ahead to disclose the intensive drug use of the 56-year-old former CEO to the corporate — and provided quite a few textual content messages to show his claims.
Unanimous determination
Headquartered in Hachioji Metropolis, Tokyo, Olympus is likely one of the world’s high producers of medical tools. Kaufmann started serving as the corporate’s president and CEO in April 2023.
On June 18, investigators from the Tokyo Metropolitan Police’s Drug and Firearms Management Division performed a search of Kaufmann’s house. The previous CEO denied utilizing unlawful medication, and a urine check was performed, nevertheless it didn’t come again optimistic.
That very same day, Samurai-san was arrested for easy possession and use of methamphetamine. He was handed a suspended jail time period.
The matter didn’t floor inside Olympus till months later.
At simply after 10:00 a.m. on September 24, a package deal containing a letter that included the textual content “Request for a high-level investigation” arrived on the Hachioji headquarters of the agency. It had been despatched by Samurai-san. The identical paperwork have been additionally mailed to the house of director Sumitaka Fujita, which triggered the corporate’s higher administration to turned more and more involved.
“An analogous doc was additionally delivered to the condo of [current chairman] Yasuo Takeuchi on the morning of September 22,” an Olympus supply tells Bunshun. “These paperwork contained private details about Kaufmann that outsiders couldn’t know.”
Among the many paperwork have been screenshots of 18 messages exchanged between Kaufmann and Samurai-san on apps corresponding to Telegram.
After seeing this, Takeuchi consulted with Tokyo Metropolitan Police and made the choice to proceed with an inside investigation.
The corporate’s board got here to unanimous determination that Kaufmann “possible engaged in behaviors that have been inconsistent” with its code of conduct. On October 28, the corporate introduced that Kaufmann had resigned as a consequence of suspicions of buying unlawful medication.
Filming secret conferences
Bunshun realized about Kaufmann’s drug use in February final yr, after Samurai-san tipped off the journal.
Over the course of the subsequent 18 months, the journal performed its personal investigation, which included filming secret conferences between Kaufmann and Samurai-san on three events.
After Kaufmann exited the corporate, the journal performed a 5-hour interview along with his vendor to get the within story.
In a single case, a Bunshun reporter noticed Kaufmann and Samurai-san on a staircase overlooking the encircling space close to the previous’s CEO’s residence in Minato Ward on the evening of February 28, 2023.
For greater than quarter-hour, the 2 of them might be seen negotiating with one another utilizing gestures. At one level, Kaufmann appeared excited and left for a second, however rapidly returned.
Afterward, he stopped at an ATM at a comfort retailer, a minute’s stroll away, earlier than assembly up with Samurai-san once more. He then handed him the 200,000 yen he had withdrawn.
“Are you able to ship this week?”
The pair negotiated such offers utilizing the apps Sign and Telegram, which make the most of superior encryption expertise. Across the time of the above encounter, they exchanged messages on Sign.
Among the many messages from Kaufmann have been “Hello…are you able to ship this week?” and “2bags from two weeks in the past and one MD…proper?”
“2bags” refers to 2 packets of cocaine, and “MD” refers back to the artificial drug MDMA.
In one other change, Kaufmann writes, “What number of baggage do you could have?” Samurai-san responds, “1 bag and 1 piece. I’m ordering 4bags tmrw.”
In one other, the previous CEO writes, “That was dangerous…let’s meet some other place tonight and watch out.”
18 packets of cocaine per thirty days
Born in Frankfurt, Germany in 1968, Kaufmann started working at division retailer chain Karstadt after graduating from college.
In 2022, Olympus bought two of its primary companies: its unique scientific enterprise, together with microscopes, and its imaging enterprise, together with cameras. By specializing in choice and focus, the corporate was reborn as a “International Medtech Firm.”
Kaufmann was appointed because the second international president of Olympus by Takeuchi in April of final yr. The primary was Michael Woodford, who famously revealed an accounting fraud inside the firm in 2011.
A economics reporter tells Bunshun, “Kaufmann’s energy is his pace. He advocates sturdy top-down decision-making. His government compensation is extraordinary, at 1.138 billion yen, the 14th highest amongst listed corporations in Japan.”
Samurai-san first met Kaufmann in January of final yr. On the time, he was the Chief Technique Officer of the corporate, however the vendor initially didn’t know his identification, solely that he was an vital buyer.
“I had his actual title listed on one other account within the app I used to be utilizing to contact him,” the vendor says. “After I searched on-line, I discovered that he was a director at Olympus. In April of the identical yr, there have been experiences that he was set to turn into president, and after I instructed him, he mentioned, ‘Please don’t inform anybody about this reality.’ So we signed a contract.”
That contract said that 18 packets of cocaine per thirty days will likely be delivered to Kaufmann for 600,000 yen. As effectively, a bonus of two.4 million yen will likely be paid thrice a yr.
“The quantity of cocaine ordered elevated accordingly”
Along with cocaine, Kaufmann had a keenness for MDMA, which is often utilized by {couples} to extend sexual pleasure. For Kaufmann, he most popular tablets containing MDMA since he used them like a stimulant. “[MDMA] helps me extra to remain targeted and awake,” he wrote to Samurai-san.
A busy interval was in March of final yr, simply earlier than the annual shareholder’s assembly. “The quantity of cocaine ordered elevated accordingly,” Samurai-san tells Bunshun. “The contract’s 18 packets was not sufficient, and there have been occasions after I delivered greater than 30 packets a month.”
On the afternoon of March 2, 2023, Kaufmann referred to as Samurai-san to the Keio Plaza Lodge in Shinjuku Ward. The vendor had been warned beforehand that there can be many individuals associated to the corporate and that he shouldn’t speak to him.
When Samurai-san met Kaufmann, who was wearing a go well with, contained in the resort, he used eye contact to information him to the lavatory on the primary flooring of the South Constructing. When he handed over a brown envelope containing cocaine, Kaufmann ferried over one other brown envelope containing a complete of 500,000 yen.
After Kaufman turned president, he turn into extra cautious about the place he and Samurai-san brokered offers.
The previous CEO usually selected a bench in Aoyama Cemetery late at evening. If a light-weight got here on within the distance, the 2 of them hid behind a tombstone. They traded three or 4 occasions per week, and progressively the 2 constructed an odd relationship based mostly on belief.
In the future, Kaufman quoted a proverb from the guide “Hagakure,” a sensible and non secular information for what it means to be a warrior, and despatched the next message, “Samurai-san, maintain on to your bushido, don’t betray me, and belief me.”
“The standard has deteriorated”
But there have been limits to the connection. Regardless of being a very good buyer, Kaufmann was irritating his vendor along with his calls for.
After an order for LSD was positioned, Samurai-san began to turn into exasperated. “By that point, Kaufmann had turn into uncontrollable,” he tells Bunshun, “and he referred to as me to a high-end steak restaurant in Kita-Aoyama, Minato Ward, and complained that the cocaine had impurities in it. He mentioned, ‘It’s totally different from the final one. The standard has deteriorated.’”
That was not all. Kaufmann additionally cautioned Samurai-san in regards to the seriousness of their dealings.
“If our [illegal drug story] will get out, the inventory value will drop to 1,000 yen,” Kaufmann mentioned in audio recording obtained by Bunshun. On that day, the inventory value of Olympus, which is listed on the Tokyo Inventory Trade, was 2,255 yen.
The previous CEO additionally cited cash challenges.
“As a result of I pay taxes in Germany, my wage in Japan just isn’t that top,” he mentioned. “My wage is [paid] in Germany, so I don’t have any cash in Japan. Please perceive. I can’t transfer cash from Germany to Japan, so my cash will enhance subsequent yr after I can promote my shares.”
Negatively impacted his well being
In early September final yr, Samurai-san secured 152 packets of cocaine — with a road worth of round 5 million yen — for Kaufaman. Nevertheless, the previous CEO used all them over the subsequent 4 months. Over a two-year interval, he spent almost 30 million yen on cocaine, Samurai-san instructed Bunshun.
Within the midst of this, Kaufmann’s excessive way of life had negatively impacted his well being. On November 5, 2013, he despatched the next message to Samurai-san: “I’ve well being issues and I have to return to Germany in two weeks to bear a medical examination. I would love 5 packets of cocaine delivered tonight or tomorrow.”
When he returned to Japan in mid-January this yr, he requested for extra medication.
In Could, Samurai-san requested an acquaintance who owned a few of Andy Warhol’s works to debate a scheme to promote them to Olympus at a excessive value by means of Kaufmann. Then, on June 17, the 2 once more exchanged concepts about reselling the work. Nevertheless, the police raid came about that very same day.
As to why Samurai-san revealed Kaufmann’s drug use, he mentioned he felt as if he had been taken benefit of by the previous CEO.
“For the previous two years, I’ve been exploited and used for comfort,” he says to Bunshunm, “and ultimately, I’ve been betrayed and humiliated. Is it okay for such an individual to be the pinnacle of a world firm? Now I deeply remorse having been concerned with him and continued to be a drug vendor.”
