Toshiba Corp. has found improper accounting practices at its social infrastructure business affiliate in relation to electrical installation work.
Toshiba Infrastructure Systems & Solutions Corp. attributed expenses in connection with a money-losing project to another profitable business for four years through September 2017, with the total doctored costs amounting to ¥95 million ($838,000), Toshiba said Tuesday.
The head of the affiliate ordered employees to cover up the losses, according to the Tokyo-based conglomerate.
The malpractice came to light after a subcontractor consulted Toshiba over expenses. Toshiba said the announcement was delayed because an internal inspection took time.
Toshiba was previously hit by an accounting scandal in 2015, when it admitted that it had deliberately overstated profits for years.