Tokyo FM Hides Subsidiary's Losses
Tokyo, Aug. 21 (Jiji Press)--Tokyo FM Broadcasting Co. said Wednesday that it has committed improper accounting practices to hide a subsidiary's losses.
The practices involved share transactions designed to appear as if the struggling digital broadcasting unit was out of Tokyo FM's consolidated earnings.
Specifically, Tokyo FM had a company close to the then president buy shares in the unit for temporary possession in order to lower its ownership ratio.
Tokyo FM is considering filing a damages suit against the former management team that committed the practices.
"This should have never happened. I apologize from the bottom of my heart," current Tokyo FM President Osamu Kurosaka told a press conference.
[Copyright The Jiji Press, Ltd.]