Carlos Ghosn, chairman of Nissan Motor Co., was arrested on Nov. 19 on suspicion of under-reporting his corporate salary by about 5 billion yen ($44.6 million).
Ghosn, 64, is accused of falsifying securities reports in violation of the Financial Instruments and Exchange Law, the Tokyo District Public Prosecutors Office said.
Greg Kelly, 62, a representative director at Nissan, was also arrested on suspicion of conspiring with Ghosn. Nissan Motor announced earlier on Nov. 19 that it would take immediate action to remove Ghosn as company chairman and representative director.
Ghosn was sent from France’s Renault SA to take over as chief operating officer of Nissan in 1999. He became Nissan president the following year, and was involved in rebuilding the automaker as both president and CEO from June 2001.
He concurrently became president of Renault in 2005 and led the move to partner with Mitsubishi Motors Corp. in 2016 after that automaker was found to have falsified fuel-efficiency data.
Ghosn became chairman of Mitsubishi Motors in December 2016.
President and Chief Executive Officer, Nissan Motor Co., Ltd., since 2001, and President and Chief Executive Officer of Renault S.A., since April 2005. Mr. Ghosn served as Chief Operating Officer of Nissan from 1999 to 2001. He served as Executive Vice President of Renault S.A. of France from 1996 to 1999, responsible for advanced research, car engineering and development, car manufacturing, power train operations and purchasing. From 1979 to 1996, he served in various capacities with Compagnie Generale des Etablissements Michelin in Europe, the U.S. and Brazil, including Chairman, President and Chief Executive Officer of Michelin North America, Inc. from 1990 to 1996. Nissan Motor Co., Ltd. and Renault S.A.more » « less