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Fresh Allegations And Re-Arrest Haunts Nissan Chairman Carlos Ghosn

Carlos Ghosn, the ex-chairman of Mitsubishi Motors and Nissan was first arrested on Nov 19.

Lawyers had asked for an extension on the one-month detention in the Tokyo court but the request was declined.

However, a fresh arrest was made on Ghosn citing breach of trust allegations on Friday. By this, the prosecutors can hold him again for at least two days. If the court approves, the detention can be further extended by 10 to 20 days. All hopes of his release before Christmas seems to have receded.

The allegation made against Ghosn initially was financial misconduct. He had under-reported his income by around 5 billion yen which is almost $44 million between the years 2011 and 2015. Just when it was hoped that he would get bail, he has been charged again for underreporting another 10 billion yen.

Ghosn had been holding the top position in the top auto companies, Nissan, Mitsubishi Motors and Renault. Though Nissan and Mitsubishi Motors have fired the chairman, Renault still has him on their payroll but interim management has been appointed.

However, Motonari Otsuru, the lawyer for Ghosn claims that his client was innocent. He hopes to restore his client’s honor on all allegations of fraud.

Ghosn was helped by Greg Kelly to underreport his income. Kelly was the former director of Nissan who has also been indicted.

Now Ghosn will be spending Christmas in his tiny jail. Ghosn is a French citizen and is of Lebanese descent. If he is found to be guilty of financial misconduct, he may have to serve almost 10 years behind bars and pay a fine of up to 700 million yens. The 64-year old has however denied all allegations against him.

Criminal justice in Japan has however been criticized. The news has gained international importance with the entire world watching the events unfolding. However, the Japanese Justice Minister says that proceedings are going according to law.

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