Nova used to pay teachers their salaries on the 15th of each month. As of last Friday, however, many teachers had not been paid. Some teachers say they are still owed for September, too.
That led some teachers at Nova schools in Osaka and Tokyo to go on strike. Several of those schools decided to close their doors temporarily last week.
At the end of March, Nova had more than 3 billion yen in cash and deposits.
However, it has continued to bleed cash since then, doling out millions of yen in salaries, refunds and office rental payments.
“Nova is in a precarious day-to-day financial situation,” said one source at a banking institution. If its circumstances don’t improve quickly, Nova may end up suspending all operations completely.
http://www.asahi.com/english/Herald-asahi/TKY200710220056.html
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