Toshiba’s Woes Continue

Following the fallout of its accounting scandal in 2015, Toshiba is now fighting off several legal actions against it. Six foreign, disgruntled investors have now filed legal action through the Tokyo District Court. They are seeking compensatory damages in the amount of JP¥9,226,668,044 (almost US$104 million). According to ARN, the action has been taken on the grounds of damages incurred due to the company’s inappropriate accounting scandal. “As of today, other than the [latest] action, the company has been served with 28 complaints, including 26 complaints that were announced on June 13, 2017, and the total amount sought in these actions, including the [latest] action, is approximately 117.2 billion yen (just over $1.3 billion),” the company told investors. The company claims it was served with latest complaint on July 19. The company has updated investments on the status of previous legal actions that have been brought against it over the accounting scandal. Meanwhile, Toshiba is also embroiled in a legal battle with Western Digital (WD) in its efforts to sell off its stake in the flash memory business it operates in partnership with WD subsidiary, SanDisk.