Carlos Ghosn, the controversial chairman of Renault and the man behind Renault-Nissan-Mitsubishi alliance, has been under detention for quite some time. His efforts to get bail were rejected by the court on Tuesday, and Renault is now planning to take some major decisions. Some media sources have reported that Renault is preparing to replace Ghosn, who still holds the position of the chairman of the company.
It should be noted that Renault had not sacked the car-industry giant from any position. Instead, Ghosn was set as the Chief Executive Officer and Chairman of Renault, considering that he is still waiting the trial. Unlike this case, both Mitsubishi and Nissan had removed Ghosn from the board as soon as the accusations were out and Ghosn was arrested by the government of Japan.
He is one of the prominent figures in the history of global automotive manufacturing, especially when in the formation of the aforesaid alliance. Now, Carlos Ghosn has been accused of several wrongdoings, including the inaccurate reporting of his income from Nissan and other financial misconduct, having to deal with the various companies in the alliance. He has been under detention since November of last year.
Now, the decision to replace Ghosn comes after the intervention of the French government. Apparently, the government, which has 15% of stake in the automotive manufacturer, has requested Nissan to immediately arrange a meeting that would consider replacing Ghosn as the chairman and chief executive. According to a report by Reuters, the meeting would be happening later this week.
Financial misconduct is the common wrongdoing that Ghosn has been charged with. Prosecutors say that he has underreported his earnings from Nissan as well as other sources from 2015. All the while, Carlos Ghosn has kept his word that he has done nothing wrong. According to the lawyers, however, he would have to be in the jail for a few more months at this pace of things.