BANKING & FINANCE - July 25, 1991

CalPERS Scrutinizes Japanese Brokerage: The California Public Employees Retirement System said it is looking into Nomura Securities Co.’s role in Tokyo’s brokerage scandal to decide whether to pull its money out of the Japanese firm. Nomura’s U.S. unit, Nomura Capital Management Inc., manages about $400 million for CalPERS, the nation’s largest pension fund. “We’re asking questions (of Nomura), and we expect some answers,” a CalPERS spokesman said. Meanwhile, the brokerage scandal widened today to include six more securities companies accused of improperly compensating favored clients for hundreds of millions of dollars in investment losses, a Japanese finance ministry official said.