Toshiba to face $60m fine

AFP, TOKYO: Japan’s market watchdog yesterday said that scandal-hit Toshiba should be slapped with a record $60 million fine over a profit-padding scheme that hammered the reputation of one of Japan’s best-known firms.
The Securities and Exchange Surveillance Commission said it was calling for the 7.37 billion yen penalty—its biggest ever—as it reportedly looks into possible criminal charges against former Toshiba executives.
The country’s Financial Services Agency must now approve the recommended fine over allegations that Toshiba lied about its finances in earlier stock exchange filings.
“This recommendation is based on the findings of investigations that focused on false statements” made by Toshiba, it said.
Earlier this year, the huge 140-year-old company was hit by the embarrassing revelations that executives systematically pressured underlings to inflate profits in a years-long scheme to hide poor results.
One of the most damaging accounting scandals to hit Japan in recent years, the case forced an incumbent president and seven other top executives to resign.
Toshiba, which sells everything from rice cookers to nuclear reactors, has admitted it had inflated profits by about $1.2 billion since the 2008 global financial crisis.

Toshiba to face $60m fine

AFP, TOKYO: Japans market watchdog yesterday said that scandal-hit Toshiba should be slapped with a record $60 million fine over a profit-padding scheme that hammered the reputation of one of Japans best-known firms. The Securities and Exchange Surveillance Commission said it was calling for the 7.37 billion yen penaltyits biggest everas it reportedly looks into possible criminal charges against former Toshiba executives. The countrys Financial Services Agency must now approve the recommended fine over allegations that Toshiba lied about its finances in earlier stock exchange filings. This recommendation is based on the findings of investigations that focused on false statements made by Toshiba, it said. Earlier this year, the huge 140-year-old company was hit by the embarrassing revelations that executives systematically pressured underlings to inflate profits in a years-long scheme to hide poor results. One of the most damaging accounting scandals to hit Japan in recent years, the case forced an incumbent president and seven other top executives to resign. Toshiba, which sells everything from rice cookers to nuclear reactors, has admitted it had inflated profits by about $1.2 billion since the 2008 global financial crisis.