Feeds

Banks slap Olympus with £160 MEEELLION lawsuit

Scandal hit camera maker just can't shake off its past

Top 5 reasons to deploy VMware with Tegile

Just when it thought the dark days were behind it, camera purveyor Olympus has been slapped with a ¥28 billion (£160m) lawsuit from six trust banks over a long running accounting scandal.

In a brief note on the company’s website, Olympus said it had received notice from the banks’ lawyers that they are seeking ¥27.9bn in compensation for damages resulting from its “false statements for the purpose of deferring record losses” between 2000 and 2011.

The banks in question are Mitsubishi UFJ, Master Trust Bank of Japan, Japan Trustee Services Bank, Trust and Custody Services Bank, Nomura, and State Street.

The latest filing is the 16th lawsuit against Olympus, bringing the total value of claims against the venerable Japanese camera maker to a whopping ¥40bn (£233m), according to the FT.

The world began to cave in on Olympus when a British former CEO, Michael Woodford was sacked in 2011 just a fortnight after being voted in unanimously by the board.

Woodford had raised concerns, rightly as it turned out, about $687m (£450m) paid out in “fees” following the 2008 purchase British medical device manufacturer, the Gyrus Group.

Olympus later ‘fessed up to serious accounting fraud and last year three former execs were fined ¥700m (£4.6m) for their part in the scam.

However, the firm has since made a pretty good stab at recover, thanks in no small part to a ¥50bn ($642m) investment from Sony which will give the Playstation-maker a 10 per cent stake in the firm.

The firm has seen its share price just about reach pre-scandal levels, although the ¥11bn it said last year it has set aside to deal with the various lawsuits flung at it will be nowhere near enough to cover the financial fallout. ®

Beginner's guide to SSL certificates

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.