Everything i've said about them is from conversations between me and the board of directors/owners. The CFO and the new owner (Yuta) sat down with me when i was there a few weeks ago and it came up.
They were a decision between Jade Music (the former distributor here in Aus) and a third party Chinese factory. The Legacy guitars were never checked by Tokai Japan or authorised, they were done completely under the table by Jade Music.
Tokai has used a Chinese factory for a while, but it's not the same one that the Legacy models came from.