Toshiba Reveals Addisional Accounting Irregularities, Promises Improvement

0
177
Toshiba Company building
Toshiba Company building
2016 Hot Business Ideas

JAPAN’s Toshiba Corp revealed additional accounting irregularities on Friday after a multi-billion dollar accounting scandal last year, rekindling doubts over the company’s pledge to improve transparency.

The laptops-to-nuclear conglomerate said it had overstated past profits by 5.8 billion yen ($51.30 million) on a pretax basis due to seven new accounting errors, on top of the 224.8 billion in overstated profits it has already announced.

Toshiba said the company had treated the additional errors as losses in financial reports for two quarters through December, but had not publicly announced them because the amount was below the threshold requiring regulatory disclosure.

The company “lacked awareness for appropriate disclosure”, a Toshiba spokeswoman said.

Fixing responsibilities for the latest errors, Toshiba said it had “punished” 40 more employees, in addition to 26 which it said previously had been punished. The company has not specified what form the punishment has taken.

LEAVE A REPLY