Abstract

On July 21, 2015, the top management executives of Japanese major, Toshiba Corporation, resigned over allegations of encouraging irregular accounting practices across various divisions of the company. Despite putting in place high corporate governance standards, it was found that various divisions resorted to window dressing due various compulsions. The case study goes beyond the accounting scandal at Toshiba, highlighting different ways in which the accounts were manipulated, also it looks into whistle blower policy and corporate governance systems at Toshiba in particular and Japanese corporations in general.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Identifying the compelling reasons behind accounting scandal at Toshiba
• Critically analyze the corporate governance systems in Japan
• Analyze how Toshiba managed to resort accounting irregularities for a long time without rising the eyebrows of the analysts and regulators

Keywords

Toshiba Corporation,Accounting Scandal,Corporate Governance,Stewardship Code,Corporate Governance Code