Accounting scandal rocks Toshiba

The third-party panel reported the company exaggerated profits by roughly $1.2 billion

Photo Courtesy: NTV

(NTV) – Three top Toshiba executives have stepped down in the wake of an independent report that found long term accounting fraud at the Japanese firm.

The probe found the company had been padding profits through improper accounting, booking future profits ahead of schedule and postponing losses.

The third-party panel reported the company exaggerated profits by roughly $1.2 billion over nearly seven years starting in fiscal 2008.

The overstating of profits was particularly rampant under president Norio Sasaki from 2009 to 2013. He was known to be unforgiving toward subordinates when figures fell short and once demanded employees boost operating profit figures by $100-million just three days before announcing financial results.

Source: http://bit.ly/1fsauDW

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