AM Online

Former Nissan boss Carlos Ghosn charged over ‘aggravated breach of trust’

Carlos Ghosn, former Nissan chairman

Former Nissan chairman Carlos Ghosn has been re-arrested and charged on allegations of ‘aggravated breach of trust’, Japanese news outlets have reported.

The Nikkei Asian Review reported that the arrest had come just a day after the Tokyo District Court denied requests from prosecutors to extend Ghosn’s detention in relation to other charges.

The new charge relates to losses incurred by Ghosn's personal asset management company, which were allegedly passed on to Nissan, and may have scuppered his hopes of applying for bail and is expected to extend his period of custody, through Christmas, for a further 10 days.

Prosecutors have alleged that Ghosn transferred personal losses totalling 1.85 billion yen (£13.14m) to Nissan in October 2008, which were supposedly incurred from activities including currency derivative transactions.

In moving the transaction contract back to the asset management company between June 2009 and March 2012, it has also been alleged, £11.6m was sent from a Nissan subsidiary to a company owned by another individual, Japanese media has reported.

In its report into the latest developments in the Ghosn case, Bloomberg said that he new allegations would be in violation of Japan’s Companies Act and were seen as “a more serious charge than under-reporting income”, part of the Financial Instruments and Exchange Act.

It said that Japan’s Companies Act states that such a charge could carry a maximum prison sentence of up to 10 years. 

Click here for manufacturer best practice and procurement insight

If you are not a registered user your comment will go to AM for approval before publishing. To avoid this requirement please register or login.

Login to comment


No comments have been made yet.