Carlos Ghosn and Nissan to part ways after ‘acts of misconduct’

Chennai: Carlos Ghosn, famed for bringing Nissan back to being a world leader in car manufacturing is expected to be sacked after being investigated for gross misconduct.

The chairman of Japanese carmakers Nissan and Mitsubishi and French manufacturer Renault, will be forced to quit after a report submitted by a whistleblower to Nissan.

An investigation was launched into the alleged ‘improper practices’ of Ghosn and representative director Greg Kelly for several months and reports state that there was full cooperation from both men with investigators.

“The investigation showed that over many years, both Ghosn and Kelly have been reporting compensation amounts in the Tokyo Stock Exchange securities report that were less than the actual amount, to reduce the disclosed amount of Carlos Ghosn’s compensation,” said a statement by Nissan.

“Also, in regards to Ghosn, numerous other significant acts of misconduct have been uncovered, such as personal use of company assets, and Kelly’s deep involvement has also been confirmed,” the statement read.

The statement also stated that CEO Hiroto Saikawa would propose to remove both the chairman and the representative director.

Prosecutors had arrested Ghosn in Tokyo on suspicion of failure to report the exact amount of his salary as there were discrepancies.

Experts have stated that the alliance of Nissan-Renault-Mitsubishi that helps the brands compete with their rivals would need a lot of work put into them to keep it afloat because the model was personally shaped by him.

NT Bureau