Livedoor, the Japanese internet business embroiled in an accounting scandal, has sold its financial arm to an investment business.

The company’s financial arm is responsible for about 80% of the group's profits.

Earlier this year, Livedoor founder Takafumi Horie, was arrested on charges of accounting fraud.

According to reports, the company will now focus on rebuilding its internet business, including web design and software development.

Horie, who is on trial in Tokyo, has maintained his innocence – he is one of Japan’s most high-profile internet entrepreneurs.

Further reading:

Japanese internet boss pleads not guilty

Livedoor CFO admits to fiddling accounts

Japan rocked by internet accounting scandal