Nissan says CEO Carlos Ghosn lied about salary, misused company money

Greg Kelly joined the Nissan board in 2012. Pic Nissan Motor Co

The Tokyo District Public Prosecutors Office's special investigation squad has raided Nissan's headquarters in Yokohama as part of the investigation. The statement also said Ghosn also conducted "numerous other significant acts of misconduct" including personal use of company assets.

Japanese prosecutors have yet to comment on Mr Ghosn's arrest. He said the revelations of criminal activity are the dark side of Mr Ghosn's long reign at the automaker and that "overly concentrated power in one individual led to distortion".

The extent of the misconduct allegations, or the arrest charges, were unclear as of Monday morning.

Tokyo prosecutors allege he underreported his annual income for several years while an internal company investigation has allegedly found other "significant misconduct".

Known as "Le Cost Killer" for overseeing turnarounds including cuts at Renault, Mr Ghosn has remained popular in Japan despite the massive job cuts that he brought and recent controversy over his lucrative pay package.

Renault-Nissan-Mitsubishi Alliance chairman and CEO Carlos Ghosn was arrested by Japanese law enforcement on Monday.

According to the statement, Nissan CEO Hiroto Saikawa will ask the automaker's board of directors to remove Ghosn from his position as chairman.

If the misconduct continued for years, as Saikawa said, analysts question how this could have passed undetected for so long, unless internal auditors and senior management turned a blind eye.

Turkey repeats call for Saudi Arabia to hand over suspected Khashoggi assassins
There has been a lot of backlash against Saudi Arabia in the past month, but one voice that was all too quiet was the White House. Turkey replied by asking for the "real perpetrators" to be exposed after the announcement by Saudi investigators.

A Japanese judicial source told AFP that Ghosn could legally be held for up to 23 days but would possibly be freed on bail before then.

"While I think [this news] will have an impact, especially on Renault, this is just essentially about correcting a serious misconduct, and is not a matter that should hurt our partnership with Renault, Nissan, and Mitsubishi", he said. Management, including Saikawa, was strongly alarmed by moves for the two companies to completely integrate their management in keeping with the French government's intentions, and nervously watched every step Ghosn made.

In February he was forced to accept a 30 percent pay cut from the 7.25 million euros ($11.4 million AUD) he took home as Renault CEO past year.

As for Nissan, it's promising to continue to work with investigators as the full extent of Ghosn and Kelly's actions.

The company said it would brief reporters tonight, with Japanese media reporting this would take place at 9pm Tokyo time (1200 GMT/8pm Malaysian time) to provide details. Renault owns 43% of Nissan, which owns 15% of Renault and 34% of Mitsubishi. He is credited with rescuing Nissan from the brink of bankruptcy.

French President Emmanuel Macron warned Paris would be "extremely vigilant" about the stability of Renault and the three-firm alliance after Ghosn's arrest. That Franco-Japanese axis, which also now includes Mitsubishi, is one of the world's biggest carmakers.

He served as Nissan's chief executive from 2001 until April 2017, becoming chief executive of Renault in 2005, leading the two major automakers simultaneously.

Related news:

Hot News

isis-killer-beheading-video-story-top Seth Moulton's drive to thwart Nancy Pelosi hitting dead end
Nov 20, 2018 - 17:11
There are only sixteen signatures, including newsworthy newcomers like Anthony Brindisi of NY and Joe Cunningham of SC . That means Pelosi could lose as many as 15 Democratic votes when she stands for election as speaker on January 3.

isis-killer-beheading-video-story-top President Buhari Hails Super Eagles For AFCON 2019 Qualification
Nov 19, 2018 - 09:18
But a shot on the full volley from Onghekaro Etebo gave scary moments to the South Africans; fortunately it went wide of goal. The Holland-based midfielder was later replaced by in-from attacker Thembinkosi Lorch on the hour mark.

isis-killer-beheading-video-story-top The Undertaker's status for WWE Survivor Series revealed
Nov 19, 2018 - 06:46
Hand-picked to take her place was Charlotte Flair, who was widely rumored to have a match with Rousey at WrestleMania 35. Team Smackdown (Asuka, Carmella, Naomi, Sonya Deville, and one TBA) in the women's Survivor Series elimination match.

isis-killer-beheading-video-story-top Macron says no comment on Trump's tweet attack
Nov 19, 2018 - 04:01
Washington historian Margaret O'Hara says Trump's latest bluster sows just how he little knows about the dangers of nationalism. But Louis Aliot, number two of the far-Right National Rally, said Mr Macron had unnecessarily provoked Mr Trump .

isis-killer-beheading-video-story-top How to Transfer Pokemon to Pokemon: Let's Go & FAQs
Nov 19, 2018 - 03:18
Products used in this guideWhere is the Go Park Complex? Players will either start their adventure with Pikachu or Eevee . It'll be coming out on the 16th of November, so pre-order now to save disappointment.

isis-killer-beheading-video-story-top Packers' Playoff Hopes on Life Support After Seahawks Soar in Fourth Quarter
Nov 19, 2018 - 02:24
Green Bay was down four starters with CB Kevin King , S Kentrell Brice , LB Nick Perry and WR Randall Cobb all out due to injuries.

isis-killer-beheading-video-story-top Google Pixel 3 users now report about the display flickering issue
Nov 19, 2018 - 01:43
The feature is now being rolled out through the Camera app update on the Play Store for the Pixel 3 and the Pixel 3 XL. KitGuru Says: Other manufacturers do have an equivalent, but none seem to be as intuitive as Night Sight.

isis-killer-beheading-video-story-top England All Out For 285 In Sri Lanka
Nov 18, 2018 - 21:35
Roshen Silva's assured 85 helped Sri Lanka secure a first-innings lead after England were bowled out for 290 on day one. After Rashid, Curran combined with Jack Leach and then James Anderson to lift England's score to a decent 285.

isis-killer-beheading-video-story-top Here Are Amazon's Black Friday Deals For Sunday 18th November
Nov 18, 2018 - 19:33
Customers will also be able to use the Watch a Deal feature on any item, ensuring they never miss a daily deal on that product. All shipping will be free during the Black Friday shopping event, thanks to the company's holiday promotion.

isis-killer-beheading-video-story-top Kim Porter Dead at 47
Nov 16, 2018 - 18:14
Missy Elliott called her death "so heartbreaking", tweeting, "Lord please give her kids & her whole family strength". Diddy and Porter began dating in 1994 and were on and off until their final breakup in 2007.

isis-killer-beheading-video-story-top Ex-Clinton aide: Hillary will run again in 2020
Nov 16, 2018 - 17:43
It's worth noting that Clinton has said she won't run for president again, despite several people speculating she might. Following the midterm elections of 2018, voters have now shifted their attention to the much anticipated 2020 U.S.

isis-killer-beheading-video-story-top Facebook will create a new 'independent body' to moderate content
Nov 16, 2018 - 17:20
Soros and his foundations, which I lead-an effort which has contributed to death threats and the delivery of a pipe bomb to Mr. Facebook did not immediately respond to a request for comment for this story.

isis-killer-beheading-video-story-top Djokovic overcomes illness to beat Zverev at ATP Finals
Nov 16, 2018 - 17:16
John Isner of the US reacts after losing his group stage match against Croatia's Marin Cilic . It was Zverev's 55th match win of the year, more than any other player on the Tour.

isis-killer-beheading-video-story-top Trump Rages at Mueller Probe: 'Total Mess...Nuts...Screaming...Shouting...Threatening...Disgrace...'
Nov 16, 2018 - 16:27
In a separate tweet, he slammed what he called social media's unfavorable coverage of his administration and the Republicans. Four people connected with Mr Trump's campaign and presidency have been charged and further indictments could be issued.

isis-killer-beheading-video-story-top HBO releases first ‘Game of Thrones’ season 8 teaser, announces April debut
Nov 15, 2018 - 18:24
Game of Thrones fans have been waiting to find out when the final season of their favorite fantasy series will finally arrive. Though Season 8 will be only six episodes long, they've been reported to each be close to movie-length in duration.