From CNET: Toshiba President and CEO Hisao Tanaka has quit the company over an accounting scandal that the Japanese government says could shake the reputation of Japanese business.
Between 2008 and 2014, Toshiba over-reported profits by 151.8 billion yen (around £780 million, $1.22 billion or AU$1.6 billion), according to an independent investigation. The affair follows a similar $1.7 billion scandal involving Olympus in 2011, prompting Japan's finance minister Taro Aso to express concern that, "If [Japan] fails to implement appropriate corporate governance, it could lose the market's trust."
Both Tanaka and his predecessor, Norio Sasaki, who is now vice chairman, have quit. Both are reported to have known about the profit overstatement and are reported to have pressured other senior staff to manipulate balance sheets to show a profit.
The company's chairman, Masashi Muromachi, will take over as head of the company on Wednesday.
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