Accused of Fraud, Former Olympus Executives Plead Guilty

Another day, another lawsuit. This is how things seem to be going on the IT market these days, although we at least have something other than a patent war to report on this time.

Olympus is the one caught in the middle of a fraud scandal, or at least three of its former executives are: former chairman Tsuyoshi Kikukawa, ex-auditor Hideo Yamada and former VP Hisashi Mori.

Ex-CEO Bob Woodford is the one who brought to light their illicit activities, namely concealing losses in financial statements between 2007 and 2008. They have now pleaded guilty.

That is just the tip of the iceberg though. Olympus has been falsifying its reports since the 1990's. Everything piled up in such a way that, in 2011, the company was actually worth one whole billion less than stated.

This may be the final nail in the photo camera maker's coffin. If Olympus doesn't find a partner or raise enough capital, it could very well collapse.