Mie Suzuka city councilors indicted at home for allegedly stealing 190 million yen from childcare business - Nagoya District Public Prosecutors Office

On the 27th, the Nagoya District Public Prosecutors Office Special Investigation Department indicted City Councilman Tsuneo Kiryu (34), the representative of the nursery school's management company, and his wife Masako (32), a clerk at the nursery school, on charges of fraud for allegedly defrauding them of approximately 190 million yen in government subsidies regarding the operating costs of Konohana Nursery School, a company-run nursery school in Suzuka City, Mie Prefecture. Neither of them has made it clear whether they approve or disapprove.

According to the indictment, from January 2022 to December 2025, Kiryu falsely stated that the nursery school was open for 13 hours a day, six days a week, which was longer than the actual number of days, and defrauded the zoo of a total of approximately 190 million yen in subsidies for fiscal years 2022 to 2025. He is said to have colluded with Masako regarding the amounts for fiscal 2024 and 2025.

According to people involved in the investigation, the facility was actually open for nine hours a day and five days a week. The fraudulently received subsidies were used for the operation of the nursery school, and no personal use has been confirmed. The park has been closed since September.

The company-led childcare project is a system that subsidizes operating costs when companies set up childcare centers for their employees. It was established in 2016 with the aim of eliminating waiting lists for children, and is under the jurisdiction of the Children and Families Agency.

Kiryu was first elected to the Suzuka City Council in April 2019 and is currently in his second term. According to people involved, Kiryu has submitted his resignation to the city council, and it is expected to be approved at an extraordinary plenary session on the 28th. In response to an interview with Jiji Press, he said, ``I cannot answer questions about suspicions of fraudulent receipt of benefits or the reason for the closure.''