This is starting to sound like Judy Garland singing the Company that Got Away from the law: “The road gets tougher…
The Board of Nissan Motor Co. has “asked” Hiroto Saikawa to resign as representative executive officer and CEO of the company, effective September 16. The same day, Nissan’s representative executive officer and COO, Yasuhiro Yamauchi, will become acting CEO. Group Renault thus far has been silent on significant changes at its alliance partner.
Details that are now known allege that from Japanese fiscal year 2009 through fiscal year 2017, Ghosn and former Representative Director Greg Kelly concealed a total of 9.078 billion yen in compensation payable to Ghosn.
Hiroto Saikawa is the latest casualty in the Carlos Ghosn matter that has turned into farce as investigations into Nissan corporate governance practices post Carlos Ghosn reveal layers of incompetence and/or malfeasance, as well as various degrees of criminal activity that are virtually unheard of in western corporations. (Was 2008 the Year When Carlos Ghosn Went Rogue? Ghosn’s Former Speechwriter on What He Did for Nissan – And What That Did to Him)
The move comes following a report from the beleaguered company’s Audit Committee that recognizes several instances of misconduct from the findings of the internal investigation that is only partially available publicly in filtered form. On May 14, 2019, Nissan belatedly issued numerous amendments to its past annual securities reports, correcting director compensation figures to reflect the amounts that should originally have been disclosed. Continue reading