Nissan Motor Co Ltd revealed it has ousted Chairman Carlos Ghosn for alleged financial misconduct and Japanese media reported he has been arrested, according to Reuters.
Ghosn’s alleged misconduct included personal use of company money and under-reporting how much he had been paid, according to the Japanese automaker.
Ghosn's departure would raise questions about the future of the alliance that incorporates Nissan and its French partner Renault, one of the best-known brands in the global car industry. Ghosn is also chairman and chief executive of the French giant automaker, Renault.
In a statement to the media, Nissan said, “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, in order to reduce the disclosed amount of Carlos Ghosn’s compensation.” “Kelly” is Greg Kelly, a board director of Nissan.
The news is a shocking accusation against a leader hailed for rescuing the company from near bankruptcy years ago and restoring its reputation and profitability.