Toshiba Bosses Quit Over $1.2bn Profit Scandal
From TVs in the 80s to nuclear power now and perhaps the robots of the future, for 140 years Toshiba has been big in the technology of the moment, but now the company finds itself in trouble for fudging its accounts over a period of many years, leaving a billion dollar hole in the books.
Senior managers including the chief executive Hisao Tanaka say they are sorry and have stepped down.
"We are taking what has happened very seriously, and we'd like to apologize from our hearts to the shareholders and to all the stakeholders."
Toshiba initially said that profit was overstated by 280 million pounds,that's 55 billion yen, but that figure tripled when an external investigation revealed that the account was off by 780 million pounds. While the probe acknowledged that management set unrealistic profit targets after the financial crash. It also claimed the accounting irregularities were 'skillfully' hidden from those outside the firm. No charges have been filed against those at the top, but the company urgently needs a whole new management team, financial experts say that competition from rivals and a culture of "keeping quiet" helped create the scandal.
东芝公司最初表示利润被虚报2.8亿英镑，也就是550亿日元。但是外部调查披露账簿存在7.8亿英镑的虚空，该数字变成了早先数字的三倍 。调查承认，金融危机过后，管理层设置了不切实际的利润目标 。会计违规操作有技巧地规避了公司外的人 。目前还未对公司高层提起控告，但是该公司迫切需要组建全新的管理团队 。金融专家表示，对手的竞争和“保持缄默”的公司文化导致了这起丑闻的发生 。
"The whistle blowing is very very difficult for the Japanese people, what would you do if your promotion or your job itself is at stake? On top of that there is, compared to the UK or other parts of the world, changing job is not easy in Japan."
But these old practices will have to change if Toshiba is to rebuild its brand name.
Poppy Trowbridge, Sky News.