Monday , June 27 2022

Carlos Ghosn was dismissed as Mitsubishi's president following the arrest – business live | Business


Carlos Ghosn was dismissed as president of Mitsubishi Motors, a week after the shameful tycoon was arrested in connection with allegations that he underestimated his millions of dollars in revenue – an offense with a possible prison sentence for 10 years.

Seven of eight Mitsubishi board members, part of an industrial alliance created by Ghosn, including Renault, held an extraordinary rendezvous Monday to decide their fate, days after Nissan dismissed him as president.

Ghosn, who also allegedly abused the company's assets for personal use, remains detained in Tokyo, but denied the allegations, according to Japanese media.

Mitsubishi said his chief executive, Osamu Masuko, would become a temporary president.

Ghosn, 64, was once recognized as a visionary after saving Nissan in bankruptcy in the 1990s, leaving his alliance with Renault. Nissan then took over a 34% stake in Mitsubishi, which employs over 30,000 people in 2016.

The group has become the best-selling automotive company in the world, and 10.6m vehicles were launched last year. It has about 450,000 people around the world.

While Nissan promised to maintain ties with Renault, the reports in Japan claimed that Nissan executives were disturbed by Ghosn's plans to turn the alliance into a full fusion.

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