Olympus Executives Arrested

Former chairman of camera company, six others charged in financial fraud.

Three former executives at Olympus Corp., including ex-chairman Tsuyoshi Kikukawa, and four others were arrested for suspected violation of Japan’s Financial Instruments and Exchange Act.

The camera maker is facing shareholder lawsuits and may be subject to further criminal investigation after admitting to a 13-year cover-up. The company restated past securities reports and took a $1.3 billion reduction in net assets in December.

Former bankers

The company inflated takeover costs of London-listed Gyrus Group Plc and three Japanese companies with the intention of boosting goodwill, according to the Dec. 6 panel report. Yamada and Mori planned to write down the goodwill over years to cancel out losses that were kept off Olympus’s balance sheet.

Page 1 of 2

Copyright 2016 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


Advertisement. Closing in 15 seconds.