Toshiba Faces $60 Million Fine
Japan's securities watchdog on Monday recommended Toshiba be fined a record 7.37 billion yen ($59.8 million) for the recent accounting violation.
Toshiba on Monday confirmed that the Securities and Exchange Surveillance Commission (Japan) has made a recommendation to the Prime Minister and the Commissioner of the Financial Services Agency
to issue an administrative monetary penalty payment order of 7,373,500,000 yen against Toshiba.
Toshiba says it "plans to examine its response after receiving an official notice from the Agency, but absent any special circumstances the company intends not to dispute the relevant facts or the amount to be paid, and will make disclosure of such response once it has been officially determined."
Earlier in the day, fifty individual shareholders of Toshiba sued the conglomerate in Tokyo, seeking 301.99 million yen in damages brought about by stock losses.
Toshiba's accounting practices inflated the company's profits by around 155 billion yen over seven years. A third-party probe blamed aggressive earnings goals and a corporate culture that discouraged employees from questioning superiors.
Toshiba has set already aside around 8.4 billion yen to cover administrative penalties.