Olympus Admits to Cooking The Books

Olympus has finally come clean and admitted that they covered up large losses in their securities investments by shifting funds used in unrelated business acquisitions. Olympus’ stock took a nosedive because of the news, shedding almost 30% off it’s opening price. There are now talks that they might be de-listed from the stock exchange altogether. If it weren’t for Michael Woodford, the recently ousted president of the company, these findings might never have been known. All in all, it’s a pretty dark day for a company which has long held the respect of consumers and businesses alike.

The company said it had used funds related to past acquisitions to cover these losses.

This is the biggest disclosure Olympus has made since former chief executive, Michael Woodford, claimed that he was fired for raising questions about them.

Executive vice president, Hisashi Mori, has been dismissed as a result.

Olympus president, Shuichi Takayama, is blaming former president Tsuyoshi Kikukawa, former vice president Hisashi Mori and the company’s auditor Hideo Yamada for the transactions. – BBC

 

Link: Olympus shares fall after it admits hiding losses

[via SmallAperture]

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One Response to “Olympus Admits to Cooking The Books”

  1. [...] Woodford was promptly let go from Olympus a few months ago after discovering massive debt cover ups. BBC is reporting that Michael is back in Tokyo, trying to get re-instated as Olympus’ CEO. [...]

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