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Demon Slayer Anime Studio Indicted On Tax Fraud Charges

Demon Slayer Movie

Demon Slayer was first a very successful manga series, then it became a highly successful televised anime, and most recently it's become the highest-grossing anime movie of all time thanks to the success of Demon Slayer The Movie: Mugen Train.

However, all that success comes with a price, and according to the Japanese tax authority, Demon Slayer's studio hasn't been paying it.

As reported by various Japanese news outlets (and courtesy of Kotaku's Brian Ashcroft), Ufotable and founder Hikaru Kondo have been indicted for tax evasion. Kondo reportedly hid around $4 million USD in earnings between 2015 and 2018, hiding those funds in a secret stash at his home.

The total owed amounts to $1.2 million. Charges were filed last year for violating Japan's corporate and consumer tax laws.

Ufotable, which is not only the anime studio behind Demon Slayer but is has also produced the Fate/Stay Night series and various Tales anime adaptations for Bandai Namco, issued an apology on Twitter stating that they're complying with local laws and paid the owed amount in full.

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"We sincerely apologize to all the fans and related parties," Ufotable wrote (via Google translate). "We filed an amendment tax return under the guidance of the national tax authorities and paid the full amount. We will strive to comply with laws and regulations and optimize management in order to create a better production environment."

Demon Slayer: Mugen Train has gone on to become Japan's highest-grossing domestic film and is now the second-highest-grossing foreign film in the United States, just behind Pokemon: The First Movie. Mugen Train set a foreign film record in the USA when it arrived in April as the highest-grossing foreign release of all time.

Demon Slayer is also set to become a video game, too. Demon Slayer: The Hinokami Chronicles is due out in October and brings the first season of the Demon Slayer anime to life, letting players take control of franchise hero Tanjiro Kamado as he journeys to become a Demon Slayer and find a cure for his demonic sister.

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