The recent scandal surrounding Kobayashi Pharmaceutical has sent shockwaves through Japan's business landscape, potentially affecting over 33,000 enterprises nationwide. The controversy centers on the company's red yeast rice products, which have been linked to serious health issues.
According to an investigation by Teikoku Databank, Kobayashi Pharmaceutical, based in Osaka, supplied red yeast rice raw materials to 225 companies. These materials were either sold directly or processed and resold, creating a ripple effect across various industries. Among the impacted businesses, food and beverage retailers constitute the largest group, with 5,582 affected enterprises. Additionally, 5,171 other retail businesses, 3,884 medical enterprises, and 3,115 restaurants are facing repercussions.
The situation escalated when Kobayashi Pharmaceutical recalled multiple products, including the \"Beni-koji choleste-help\" supplement, which was marketed for cholesterol reduction. Reports have linked these dietary supplements containing red yeast rice, known as \"beni-koji,\" to adverse health events. As of Monday, there have been five reported deaths and approximately 166 hospitalizations related to these products.
This widespread impact not only threatens the reputation of Kobayashi Pharmaceutical but also poses significant challenges for the affected businesses across Japan. The ongoing investigation by Teikoku Databank aims to uncover the full extent of the supply chain and the ramifications for the broader market.
Reference(s):
Kobayashi scandal may impact 33,000 firms in Japan: investigation
cgtn.com
