Overview
- On August 13, Osaka Prefectural Police searched sites linked to Iroha Construction on suspicion that it carried out the Angola Pavilion interior work without required national and prefectural permits.
- Osaka prefecture imposed a 30-day business suspension on the company starting August 6 after determining in July that its roughly ¥120 million January contract lacked proper authorization.
- Multiple subcontractors claim Iroha Construction owes over ¥100 million in unpaid fees, and the firm has filed embezzlement charges against its former accountant, who denies the allegations.
- Investigators have seized financial records to trace the multi-tiered subcontracting chain from the Angolan government through a Spanish event firm to Iroha Construction.
- Experts say the case highlights systemic risks in Expo projects with tight schedules and complex international subcontracting that can obscure permit compliance and payment flows.