Toshiba loses access to unit's cash after hedge fund sues

Tokyo

TOSHIBA Corp lost access to one of its subsidiary's funds after hedge fund Oasis Management went to court to get the unit to take back its cash from the struggling conglomerate.

Toshiba Plant Systems & Services Corp, which had 87.8 billion yen (S$1.1 billion) parked at Toshiba at the end of last year, said that it had terminated its deposit agreement and recalled the money by March 31, according to court documents obtained by Bloomberg. Hong Kong-based Oasis filed a provisional injunction against Toshiba Plant's directors with the Yokohama District Court on March 9, asking them not to deposit funds with their parent firm.