For the past five years, Troubled Apple supplier Japan Display –making the LCD screens used in the iPhone 11 base model–has been losing money. Failure from a $5M fraud, however, means the true position could be even worse than feared.
The company said it will need to review its past earnings to assess whether or not they offer a true picture of the company’s finances, taking into account a report by a former senior executive who embezzled more than $5M from the company.
Reuters reports the announcement was made yesterday by the company.
It may just be the embezzler at this point trying to cause the company’s problems, but only a detailed audit will reveal the truth.
For Japan Display, the saga of which we have recently recapped, it’s just the latest thing to go wrong.
It is reported that Apple is now leading the rescue, doubling its planned investment to $200 million, making it the largest contributor. It is still unknown the impact of the current uncertainty.