Leadership Crisis Engulfs Toshiba
Toshiba’s chairman, Osamu Nagayama, is resisting calls to step down, despite growing pressure from shareholders.
Nagayama said instead, he wants to help put things right at the crisis-hit Japanese conglomerate and would bring in new directors.
Toshiba is in the spotlight after an independent investigation last week alleged management colluded with Japan’s Trade Ministry to block foreign investors from gaining board influence.
A top shareholder in the company called it the world’s worst corporate scandal in a decade.
In response, Toshiba dumped two new candidates for its board and saw two other executives resign.
But Institutional Shareholder Services, the main activist Toshiba shareholder, and other investors said this was not enough and have reiterated that Nagayama should step down.