The Tokyo prosecutors office indicted Nissan Motor and ousted Chairman Carlos Ghosn in Tokyo yesterday, shifting responsibility to the ex-CEO and the automaker itself. Nissan has said that the one superstar Ghosn and Representative Director Greg Kelly worked together to formulate a of deception plan that result in misuse of funds as well as purchasing of homes in Brazil and Lebanon.
Ghosn was arrested in November for underreporting his compensation “over many years” according to a report. Also, it is alleged that the executive was using Nissan and its assets for private gains. Apparently, there were homes in Brazil, Lebanon and in the UK that are under investigation. Nissan is now said to be taking over these assets that were, as some firm members stated, kept a secret by Mr Ghosn.
The 20-year alliance between Renault, Nissan and Mitsubishi with Renault holding 43 percent stake in Nissan and the French government owning 15 percent of Renault. After cutting costs and restructuring Renault in the 1990s, Mr Ghosn was affectionately called “Le Cost Killer.” More importantly, he was the first person in history to run two Fortune 500 companies simultaneously when he was the CEO of both companies in 2005. He stepped down as Nissan CEO in 2017 and has remained an executive that doubles as a TV personality.
Some newspapers are questioning the timing of these ouster and charges as there are growing concerns of a conspiracy.