AI Startup Ortz Ex-CEO Admits to 111 Billion Yen Revenue Fraud in Tokyo Court

The founder and former CEO of Japanese AI startup Ortz admitted to massive accounting fraud in his first court appearance on October 1, 2026, after the company inflated revenue by approximately 111 billion yen over three years. Yonekura Choki, 49, pleaded guilty to violations of Japan's Financial Instruments and Exchange Act at Tokyo District Court, acknowledging prosecutors' charges that he orchestrated a systematic scheme to fabricate sales while preparing the company for public listing.