Updated: Index is in Financial Trouble

Japan based company Index Corporation, parent company to Atlus, is in a bit of financial trouble. Okay, a "bit" may be understating the situation. Index has filed for bankruptcy as the company is 24.5 billion Yen in debt. This debt came about mainly due to the fact Index only saw profit from its game distribution side of business while their other ventures generated no profit at all. To make the situation even worse, Index underwent investigation for fraud and was accused of inflating sales figures through illegitimate business transactions. In addition, Index's CEO, Yoshimi Ochiai, has made it clear he wishes to step down from the company. Overall, it would seem to be quite the mess for Index and, subsequently, Atlus.

Thankfully, this does not mean Index must immediately close its doors. The company filed for bankruptcy under "Civil Rehabilitation" which basically means Index can still operate their businesses and can freely sell off assets to help pay off the debt. All of this; however, must still be done under supervision to ensure the company is actually working to pay its debt and ensure Index can remain afloat. Being accused of fraud is still quite a big deal and, with the CEO's possible resignation, Index will certainly have a rocky future.

So, what does this all mean for Atlus? Well, Index views the gaming company very highly, probably because it was actually able to make profit, and does not wish for Atlus to suffer any set backs as a result of the bankruptcy. Index is currently looking for sponsors to transfer their gaming business over to. This may still result in Index outright selling Atlus, but only time will tell. Atlus has also confirmed their upcoming titles will not be affected by this and still be brought to store shelves as planned. With any luck, Atlus will be able to function normally and still be able to work on new titles. Really; though, I just want my Persona 5.

So, with the possibility that Atlus could be sold off, who would all of you prefer to see pick up the company?

Update: Kotaku reached out to Atlus for a response on the issue and Naoto Hiraoka, in charge of Atlus USA, replied:

Currently, Index Digital Media, Inc. and the ATLUS brand are unaffected by the Index Corporation proceedings in Japan. We’re carrying on day-to-day activities, business as usual. Shin Megami Tensei IV and Dragon’s Crown are still releasing on July 16 and August 6 respectively, and we’re licensing and publishing third-party titles such as R.I.P.D: The Game and Daylight. We want to thank all of our fans for their outpouring of support.