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Posts Tagged ‘Carlos Ghosn’

Ghosn Released on Bail

Prosecutors lose appeal nearly four months after exec’s arrest.

by Paul A. Eisenstein on Mar.06, 2019

Carlos Ghosn was released from a Tokyo detention center after the appeal to deny him bail was denied.

Nearly four months after he was unceremoniously yanked off a private jet after landing at Tokyo’s Haneda Airport, former Nissan Chairman Carlos Ghosn was escorted out of the Tokyo Detention Center on Wednesday, looking gaunt and wearing both a surgical mask and cap.

The executive was freed a day after a Tokyo District Court ordered him released on 1 billion yen, or $8.9 million, bail. Prosecutors had previously blocked the release of the Brazilian-born executive but lost an appeal of the release order this time.

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“I am innocent and totally committed to vigorously defending myself in a fair trial against these meritless and unsubstantiated accusations,” Ghosn, who will turn 65 on Saturday, said in a statement issued shortly before his release. (more…)

Tokyo Court Grants Ghosn Bail – But Move Under Appeal

Former Nissan chief could soon leave detention for first time in nearly four months.

by Paul A. Eisenstein on Mar.05, 2019

Carlos Ghosn was a traditional fixture at the Geneva Motor Show but is still behind bars as the 2019 event gets underway.

A Japanese court has finally approved bail for former Nissan Chairman Carlos Ghosn, potentially opening the door for him to step out of the Tokyo Detention Center for the first time since his arrest on charges of corruption on November 19.

But the release of the 64-year-old executive was delayed pending an appeal by prosecutors who had repeatedly blocked Ghosn’s bid for bail, alleging he was a flight risk and that he might use his freedom to tamper with evidence.

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This marked the third bid for Ghosn’s release and comes just weeks after the once high-flying executive changed his legal team, turning to Junichiro Hironaka, a lawyer renowned for his ability to clear defendants in a country where prosecutors win over 90% of their cases. Hironaka had proposed to the Tokyo District Court ways to ensure Ghosn would comply with the requirements set by the court.

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Ghosn Reimbursing Renault €50,000 for Wedding Expenses

Former CEO said he didn't know Renault paid for Versailles chateau.

by Michael Strong on Feb.08, 2019

Carlos Ghosn is reimbursing Renault €50,000 for expenses related to his 2016 wedding.

Former Renault-Nissan-Mitsubishi Chairman and CEO Carlos Ghosn is reimbursing Renault €50,000 for a bill the automaker incurred for the use of a chateau at the Palace of Versailles for Ghosn’s lavish wedding in 2016.

Ghosn, who is being detained in Japan and being investigated by French automaker Renault for financial misdeeds, said he was unaware that use of the facility was paid for by Renault. He believed the use of the chateau was part of Renault’s donation to the estate.

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French newspaper Le Figaro reported that Versailles allowed Ghosn to host his 2016 wedding reception on the palace grounds in exchange for Renault’s €2.3 billion donation.  (more…)

Ghosn Pleads Not Guilty in First Court Appearance

“I have been wrongly accused,” says former Nissan chief looking gaunt but defiant.

by Paul A. Eisenstein on Jan.08, 2019

Nissan Chairman Carlos Ghosn shown during an appearance at the Paris Motor Show in October.

Former Nissan Chairman Carlos Ghosn made his first public appearance since being unexpectedly arrested on financial corruption allegations Tuesday, telling a Tokyo court that he has been “wrongly accused.”

Ghosn has been held in solitary confinement in the Tokyo Detention Center since shortly after his corporate jet arrived at Haneda Airport on November 19th in a case that, while centered around claims of financial wrongdoing has also raised concerns about whether his arrest was influenced by Nissan’s desire to shake off the control of its alliance partner Renault. The French affiliate rescued the Japanese automaker from bankruptcy 20 years ago but has since dominated their partnership.

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“I have been wrongly accused and unfairly detained based on meritless and unsubstantiated accusations,” the 64-year-old Ghosn said while wearing handcuffs tied to a rope around his waist. “I believe strongly that in all of my efforts on behalf of the company, I have acted honorably, legally and with the knowledge and approval of the appropriate executives inside the company.”

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Hit With New Charges, Ghosn to Remain in Tokyo Jail

Additional charges could follow as prosecutors push to retain exec in custody.

by Paul A. Eisenstein on Dec.21, 2018

Nissan's one-time CEO Carlos Ghosn could face 20 years or more in prison with the new charges.

Barely a day after a Japanese court took steps that could have led to the release of Carlos Ghosn from a detention center in Tokyo, prosecutors have taken steps that will ensure the former Nissan chairman will be spending Christmas behind bars.

The 64-year-old executive, along with former Nissan colleague Greg Kelly, were arrested on November 19 and accused of a series of financial misdeeds, formal charges being announced last week. Now, however, Ghosn has been rearrested, prosecutors accusing him of breach of trust, a move that means they can hold him in the Tokyo Detention Centre for at least another 10 days. And further charges could follow, according to reports from Japan.

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Prosecutors said Friday that Ghosn alleged transferred losses from a private investment to Nissan, a move that reportedly saved him more than $16 million. The accusations also cover what prosecutors say was the transfer of another $14.7 million that benefited Ghosn and a Saudi Arabian citizen who helped create a fake contract.

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Ghosn Scandal Threatens to Fracture Renault-Nissan-Mitsubishi Alliance

Japanese want Renault to examine evidence against jailed executive.

by Paul A. Eisenstein on Dec.18, 2018

Carlos Ghosn has been ousted at Nissan and Mitsubishi, but Renault has only replaced him temporarily pending the outcome of his legal proceedings.

Tensions are mounting between the French and Japanese sides of the Renault-Nissan-Mitsubishi Alliance, according to various insiders and news reports, in the wake of the arrest of Carlos Ghosn, the man who put the alliance together two decades ago.

While the Brazilian-born executive has been ousted from top management roles by both Nissan and Mitsubishi, Renault has refused to follow suit while Ghosn awaits trial on allegations of financial corruption. He was charged by Japanese prosecutors earlier this month with concealing income and misusing corporate funds, but some sources believe the case really centers around growing concerns by Nissan about its relationship with Renault.

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The second-largest of the Japanese automakers is pressing its French partner to take a closer look at the evidence it claims to have gathered as part of an investigation triggered earlier this year by a whistleblower. The Reuters news service is reporting that Nissan CEO Hiroto Saikawa hopes to meet with his Renault counterpart, Thierry Bollore, in Amsterdam next week. (more…)

Carlos Ghosn Formally Indicted – Could Face 10-Year Sentence

Former Nissan chairman accused of concealing income.

by Paul A. Eisenstein on Dec.10, 2018

Nissan Chairman Carlos Ghosn was still running the show when he appeared at a news conference at the Paris Motor Show in October.

Things went from bad to worse for the long-time head of the Renault-Nissan-Mitsubishi Alliance on Monday, prosecutors in Tokyo formally charging Carlos Ghosn with financial misconduct in a scandal that has rocked the global automotive industry.

Ghosn, along with Nissan board member Greg Kelly, were arrested on November 19th after their corporate jet touched down in the Japanese capital and immediately taken to the Tokyo Detention Centre where they have been held in solitary ever since. Ghosn, in particular, has not been accused of hiding about half of his $88 million income during a five year period beginning in 2010. He may face additional charges related to more recent years, according to Japanese media reports.

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If found guilty, the executive who was given credit for saving a nearly bankrupt Nissan in 1999 could face up to 10 years in prison, a 10 million yen, or $89,000, fine, or both. Nissan, however, could also face potential penalties as high as 700 million yen, or $6.2 million, for failing to catch the alleged scheme.

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Ghosn May Ring in New Year in Japanese Custody

Former Nissan CEO denies any wrongdoing.

by Michael Strong on Dec.04, 2018

Ousted Nissan Chairman Carlos Ghosn may ring in the new year in Japanese custody.

Ousted Nissan Chairman Carlos Ghosn may be arrested again by Japanese authorities as part of their ongoing investigation into charges of alleged financial misconduct by the former company executive and a colleague.

Ghosn was initially expected to be released on Dec. 10, after having his release delayed two times already. Japanese law allows investigators to arrest a suspect again if new criminal charges are filed, which is exactly what is expected to happen with Ghosn.

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He could be detained until the end of the year. Japanese prosecutors are expected to file charges that Ghosn’s total compensation for 2016 and 2017 exceeded the cap set by the company’s shareholders, according to an Automotive News report. (more…)

Ghosn Scandal Could Fracture Renault-Nissan Alliance

Handling of allegations against Ghosn raising questions.

by Paul A. Eisenstein on Nov.23, 2018

Carlos Ghosn was formally ousted as Nissan Chairman by the automaker's board on Thursday.

With relatively little debate, Nissan’s board voted to oust Chairman Carlos Ghosn on a Thursday afternoon emergency meeting at its headquarters in Yokohama, the latest move in a scandal that could see the man credited with saving the company remain in Japanese police custody for another week or more.

The 64-year-old Ghosn, who helped save the Japanese automaker in 1999 after it received a massive capital infusion from French carmaker Renault SA, was arrested on Monday upon returning to Japan and accused of both under-reporting his income by as much as $45 million, while also misusing company assets. Japanese media on Wednesday reported the Brazilian-born executive would remain in detention in Tokyo until prosecutors decide whether to bring a formal indictment.

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The arrest follows what Nissan CEO Hirota Saikawa described as a months-long investigation triggered by a “whistleblower.” But there are some questioning exactly what the case really involves, with the board of Nissan’s French alliance partner Renault SA notably choosing not to oust Ghosn as its own CEO while waiting for clear evidence. Several sources NBCNews.com spoke to went further, questioning why Ghosn was even arrested.

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Future of Alliance with Nissan/Renault the Big Question as Zetsche Prepares to End Role as Daimler CEO

Zetche and Nissan/Renault’s Ghosn insist there is more to come during Paris new conference.

by Paul A. Eisenstein on Oct.03, 2018

Zetsche and Ghosn first met when the German exec was working at Freightliner and the Brazilian-born Ghosn worked for Michelin.

Since launching the first in a broad series of joint ventures nine years ago, Daimler AG and the Nissan/Renault/Mitsubishi Alliance have generated what they claim to be billions of dollars in “synergies” that have allowed them to expand their product lines and grow into new markets.

But in recent months, the future of that partnership has come under question. The last major new project was announced three years ago. And now, with Daimler Chief Executive Dieter Zetsche planning to relinquish the CEO title next year, that has raised new questions about whether his successor, Ola Kallenius, would keep the alliance going.

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“Without the chemistry between us, maybe this wouldn’t have happened,” said Zetsche, during a joint news conference with Nissan/Renault/Mitsubishi Alliance chief Carlos Ghosn. But considering the results the partnership has generated, “I don’t see from my perspective why the momentum in this relationship should change.”

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