Olympus Corp, one of the biggest scandal ridden companies of our times, is looking at a $1.2 billion suit as it is looking to sue its existing and ex-executives for compensation. Moreover, according to a source to the matter said that the new president of Olympus is also thinking of submitting his resignation.
Olympus, which makes endoscopes, is getting together a suit that helps it cover costs in damages which the company has dealt with because of accounting fraud. The amount of money in damages Olympus has had to deal with is $1.7 billion, which has resulted in savaging the finances of the firm. Olympus is not a new company as it has been operating since 92 years.
The source close to the matter said that the suit being planned will probably include existing executive who didn’t succeed in pointing out a 13 year old cover up or the question usurious fees involved to make the accusations. In a statement, the company said that it will reveal the contents/topics of any suit on 10th of January, which falls on a Tuesday. Moreover, Olympus also didn’t comment on whether the news of its new president, Mr. Shuichi Takayama has planned to give his resignation and step down from the seat. Shuichi Takayama himself became the president of Olympus in October 2011 and has resisted the calls that suggest he is resigning. He also revealed that he wasn’t a part of hiding losses and the first responsibility he took on after he became president was to reconstruct Olympus’s business after 60 percent of the company’s market capitalization was wiped out following the scandal.
Shuichi Takayama replaced Tsuyoshi Kikukawa, the former president of Olympus, after Michael Woodford, the kicked out CEO from Britain pulled off the trigger on Tsuyoshi’s participation in the accounting fraud.