OSAKA -- The Osaka District Public Prosecutors Office has filed charges against Nozomu Sahashi, the former president of bankrupt English language school operator Nova Corp., accusing him of embezzlement.

Sahashi, 56, has reportedly admitted to the charges against him.

"I gave the orders, and used money entrusted by company members," he was quoted as saying.

The indictment in the Osaka District Court brings a series of Osaka Prefectural Police investigations into Nova to a conclusion. Prosecutors apparently abandoned the idea of forming a case against Sahashi on suspicion of aggravated breach of trust in connection with Nova's Ochanoma Ryugaku business, judging that it would be difficult to prove that the former president had caused Nova damage to benefit himself or a third party.

Sahashi deposited 320 million yen taken from the account of a mutual aid society for Nova employees into another account at the same bank on July 20, 2007. He then converted the cash into checks and deposited it into an account of Nova Corp. affiliate Nova Kikaku, according to the indictment. The money was apparently used to refund students who cancelled their contracts.

Prosecutors have decided to suspend an indictment against Toshihiko Murata, former president of Nova Kikaku.

Copyright 2005-2006 THE MAINICHI NEWSPAPERS. All rights reserved. Mainichi features the best news in Japan, current news in Japan, Japan news in English, Japan business news, Tokyo Japan news, and Japan entertainment news. Mainichi News is syndicated in accordance with editorial regulations: personal and noncommercial purposes.