Management was not obligated to disclose the recent notification of the (private) SEC inquiry. Certainly, the risk was present that the information about the SEC inquiry would be leaked anonymously which may have forced Management to come forward with this information now, rather than wait for a leak to surface and face another round of new rumors. However, is it possible that Management came forward with this information in order to force the SEC to make their findings public at the end of the inquiry? What better way to put an end to all the rumors than to have the SEC publish a statement that ultimately finds nothing wrong with the accounting practices used at LINE. I know a lot of investors out there think that the Management of LINE are idiots, and it would be hard to argue against that premise based on the current stock price, but Management had to know that coming forward now with the information about the (private) SEC inquiry would crush the stock price in the short term.