Business · Companies · 2 hrs ago
Kizuna Holdings and four affiliates enter bankruptcy proceedings
Five companies in the Kizuna Holdings group entered bankruptcy proceedings after a court decision on November 2.
The Osaka-based group runs welfare services, including support to help people with disabilities find work.
Osaka City says four affiliates improperly received employment support payments and has demanded about ¥11 billion in repayments, including penalties.
The city also cancelled their licenses to provide disability welfare services, effective May 1, 2026.
The five companies have combined debts of about ¥28.95 billion, the largest failure reported for a social welfare business group.
The group had sought court-supervised restructuring in June, but the court rejected the request in October.
A sponsor has agreed to take over some services, which will continue under the bankruptcy trustee until the transfer is complete.
Kizuna Holdings and four affiliated entities received a bankruptcy commencement order from Osaka District Court on November 2.
The five entities have combined liabilities of about 28.95 billion yen.
Osaka City sought repayment of about 11 billion yen, including penalties, over alleged improper claims for disability employment support benefits.
The group had applied for corporate reorganization in June, but the application was rejected in October.
A sponsor has agreed to take over some services, which are to continue operating during the transfer process.
- Who
- Kizuna Holdings and four affiliated entities: JOB connect, Rêve, Liberara and NPO Lien.
- What
- The five entities received a bankruptcy commencement order.
- When
- November 2, 2026.
- Where
- Osaka District Court; Kizuna Holdings is based in Osaka City.
- Why
- Osaka City sought about 11 billion yen in repayment after alleging improper receipt of disability employment support benefits. The group’s corporate reorganization application was rejected.
This story does not have two clearly opposing sides.
Kizuna Holdings was established, initially as a matchmaking business.
Osaka City sought repayment of about 11 billion yen from four group companies and moved to revoke their service-provider designations.
The group applied to Osaka District Court for corporate reorganization, while NPO Lien applied for bankruptcy.
The group signed a sponsorship agreement with T.N. Plan for a transfer of business.
The court rejected the reorganization application and issued an order for provisional administration before bankruptcy proceedings.
Osaka District Court ordered bankruptcy proceedings for Kizuna Holdings and four affiliates.
- Entities
- Kizuna Holdings and four affiliated entities
- Combined liabilities
- About 28.95 billion yen
- Repayment sought
- About 11 billion yen, including penalties
- Court
- Osaka District Court
- Sponsor
- T.N. Plan