Police have arrested the president of Cute, a pearl sales firm based in Ainan, Ehime Prefecture, on suspicion of collecting money from investors without authorization for a pearl farming investment scheme, investigators said Aug. 20.

Police believe Michio Urakawa, 64, and four others pulled in some ¥4.8 billion from at least 2,200 investors in 42 prefectures through the scheme.

A joint investigative team involving the police forces of Ehime and five other prefectures arrested the five on suspicion of violating the Investment Deposit and Interest Rate Law, which bans unauthorized companies from collecting money from investors.