Hisao Tanaka, the CEO and president of Toshiba, has resigned after the company was found to have overstated its operating profits for the last six years, to the tune of $1.2 billion (£780 million).

He and two others in senior management, vice-chairman Norio Sasaki and advisor Atsutoshi Nishida, will leave the company as Toshiba looks to reestablish trust in its operations by shareholders and investors alike.

It is claimed that Tanaka and Sasaki created an environment at Toshiba that pressured department heads to falsify figures in order to meet strict targets. They both knew about the overstated profit announcements, it has been revealed.

During a news conference to announce their departure, the three heads bowed and showed remorse. "I see this as the most damaging event for our brand in the company’s 140-year history,” said Tanaka to the gathered world media "I don’t think these problems can be overcome overnight."

Toshiba's chairman, Masashi Muromachi, will take the helm until a new CEO can be found. He has a trouble task ahead of him in light of the revelations, one of which will be how to fully address the findings into the financial scandal presented by the Independent Investigation Committee.

It is claimed that Toshiba could sell parts of its business to balance its books as it looks to repost financial results for the period affected.

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