Carlos Ghosn's legal woes deepen as Nissan sues for $95 million in damages

Prosecutors, who arrested ex-Nissan boss Carlos Ghosn two years ago, have charged him with hiding 9.3 billion yen ($88.6 million) in compensation, enr
...
File photo of former Nissan chairman Carlos Ghosn (REUTERS)
File photo of former Nissan chairman Carlos Ghosn

Ousted Nissan Motor Co chairman Carlos Ghosn's legal woes deepened on Friday with the start of a civil trial in Yokohama, Japan, where his former employer is seeking 10 billion yen ($95 million) in damages.

"The legal actions initiated today form part of Nissan's policy of holding Ghosn accountable for the harm and financial losses incurred by the company due to (his) misconduct," Nissan said in a statement.

Also check these Vehicles

Find more Cars
Nissan Sunny 2024 (HT Auto photo)
UPCOMING
Engine Icon1498.0 cc FuelType IconDiesel
₹ 8.50 Lakhs
Alert Me When Launched
Nissan Juke (HT Auto photo)
UPCOMING
Engine Icon998.0 cc FuelType IconPetrol
₹ 10 - 15 Lakhs
Alert Me When Launched
Nissan Leaf (HT Auto photo)
UPCOMING
₹ 30 Lakhs
Alert Me When Launched
Nissan Qashqai (HT Auto photo)
UPCOMING
Engine Icon998.0 cc FuelType IconPetrol
₹ 25 - 30 Lakhs
Alert Me When Launched
Nissan Magnite (HT Auto photo)
Engine Icon999.0 cc FuelType IconPetrol
₹ 6 - 11.11 Lakhs
Compare
View Offers
Nissan X-trail (HT Auto photo)
UPCOMING
Engine Icon1995.0 cc FuelType IconDiesel
₹ 26 - 32 Lakhs
Alert Me When Launched

Ghosn, who also ran French carmaker Renault SA, has been in Lebanon since January after fleeing Japan before he was due to stand trial. He denies any wrongdoing.

Also Read : Ex-Nissan boss Carlos Ghosn settles scores in new published French book

Prosecutors, who arrested Ghosn two years ago, have charged him with hiding 9.3 billion yen ($88.6 million) in compensation, enriching himself at Nissan's expense through $5 million payments to a Middle East car dealership and temporarily transferring personal financial losses to the automaker's books.

The "Nissan civil lawsuit is an extension to the extremely unreasonable internal investigation with sinister intent by a portion of Nissan’s senior management and the unreasonable arrests and indictments by the public prosecutors," Ghosn said in an emailed statement.

Ghosn, who has said he was removed from Nissan to thwart any merger with Renault, which already owns 43% of the Japanese carmaker, was represented in the Yokohama court by lawyers.

Also Read : Ex-Nissan boss Carlos Ghosn says French inquirers to quiz him in Lebanon in 2021

The civil proceeding got underway as the criminal trial of former Nissan executive Greg Kelly, who is accused of helping Ghosn hide his earnings, continued at a court in Tokyo.

Kelly, who has lived in Japan since his release on bail almost two years ago, also denies any wrongdoing. Nissan, which is also a defendant in that trial, has pleaded guilty. If found guilty, Kelly could face up to ten years in prison and a 10 million yen fine. The conviction rate in Japan is around 99%.

Nissan is drawing back from the business expansion undertaken under Ghosn. On Thursday, it trimmed its full-year operating loss forecast as a rebound in auto demand in China and elsewhere helped boost sales.

Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape.

First Published Date: 15 Nov 2020, 11:41 AM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city
Select a dealer

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.