Carlos Ghosn removed as Nissan boss following salary scandal

Nissan's board of directors unanimously agrees to sack industry A-lister after arrest in Tokyo, but Ghosn technically remains at Renault

Nissan’s board of directors has taken the decision to sack chairman Carlos Ghosn, after nearly two decades at the very top of the Japanese firm.

The latest statement from Nissan confirms Ghosn has been removed as chairman of the board and representitive director. Another representitive director, Greg Kelly, has also been removed from his post. Both have been investigated for financial misconduct, specifically, understating their salaries on the Tokyo Stock Exchange. 

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Nissan’s internal investigation also accuses Ghosn of other acts of misconduct including personal use of company assets. Reports around the web suggest that Ghosn has been arrested and is currently being held by Police in Tokyo.

Nissan says its investigation unearthed both Ghosn and Kelly “reporting compensation amounts in the Tokyo Stock Exchange securities report that were less than the actual amount.” The misconduct has been recorded “over many years”.

The statement also reads: “Nissan has been providing information to the Japanese Public Prosecutors Office and has been fully cooperating with their investigation. We will continue to do so.

“Nissan deeply apologizes for causing great concern to our shareholders and stakeholders. We will continue our work to identify our governance and compliance issues, and to take appropriate measures.”

Nissan stresses that the brand’s long standing partnership with Renault as part of the Renault-Nissan-Mitsubishi Alliance “remains unchanged”.

Separate statements from Renault have acknowledged Nissan’s position and actions. Renault’s latest communication reads: “Mr. Ghosn, temporarily incapacitated, remains Chairman and Chief Executive Officer. The Board of Directors resolved to appoint Mr. Thierry Bolloré on a temporary basis as Deputy Chief Executive Officer. Mr. Bolloré will therefore lead the management team of the Group, having the same powers as Mr. Carlos Ghosn.”

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