• Kyodo

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Toshiba Corp. is considering naming Shinzo Maeda, senior adviser to cosmetics-maker Shiseido Co., as chairman of its revamped board in order to improve corporate governance at the industrial conglomerate that’s mired in an accounting scandal, sources close to the matter said Thursday.

The new 11-member board is expected to have seven outside directors, including Maeda, up from four before the scandal surfaced.

Toshiba may announce the lineup on Monday when it will release its earnings for the business year that ended in March, the sources said. It will seek approval for the management shift at an extraordinary meeting of shareholders in late September.

Toshiba likely fell into the red in fiscal 2014, hit by impairment charges reflecting the correction of its past earnings.

Tokyo University of Science professor Hiroyuki Itami had been floated as a potential candidate for the job of board chair. But some questioned his credentials as he served as an outside director when the company conducted improper accounting practices.

Masashi Muromachi, who became interim president after his predecessor stepped down in July over the accounting scandal, will stay at the helm, the sources said.

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