Olympus to be prosecuted by UK fraud agency for falsifying Gyrus accounting
Olympus Corp said on Wednesday that Britain’s fraud regulatory agency will prosecute the Japanese endoscope and camera maker and its UK unit Gyrus for deceptive financial accounting, following a two-year investigation.
Olympus said the UK’s Serious Fraud Office had charged it with breaching Section 501 of the UK Companies Act by providing “misleading, false or deceptive” material in its financial accounts for Gyrus Group in fiscal 2009 and 2010.
The firm’s acquisition of Gyrus was one of the deals called into question by a US$1.7 billion accounting fraud scandal uncovered in 2011 by its British chief executive turned whistleblower, Michael Woodford, who revealed the company had hidden details of investment details for decades.
Three former executives were found guilty and handed suspended sentences by Japanese courts in July.