Carlos Ghosn, chairman of the alliance between Nissan Motor Co., Renault SA and Mitsubishi Motors Corp., was arrested Nov. 19 over the alleged underreporting of his income and misuse of company funds.
Ghosn, 64, is expected to be relieved of his post Nov. 22 at a meeting of the company’s board of directors, Nissan CEO Hiroto Saikawa told a news conference later in the evening, adding that Ghosn’s long reign had negatively impacted the firm’s governance.
The carmaker said it had initiated an internal investigation after a report by a whistleblower revealed misconduct by Ghosn and Nissan Representative Director Greg Kelly, alleging that the two executives had conspired to underreport Ghosn’s salary for a number of years.
The Tokyo District Public Prosecutor’s Office had questioned Ghosn earlier in the day and arrested him and Kelly. Together, the amount of their underreporting amounted to some \5 billion over five years between 2011 and 2015, sources said. (The Japan Times, Kyodo)