Renault Strips Ghosn Loyalist of Executive Role

Renault Strips Ghosn Loyalist of Executive Role

Nissan has tasked an external committee with helping to improve corporate governance after the arrest and ouster of Ghosn, who faces charges of financial misconduct including understating his compensation by about ¥9 billion over almost a decade.

The leaders of Renault, Nissan and Mitsubishi celebrate the reconfiguration of the Alliance's board of directors.

"In response to latest press reports, Renault confirms that it is in discussions with its Alliance partners Nissan Motor and Mitsubishi Motor regarding the establishment of a new Alliance body in order to enhance and ensure further collaboration", Renault stated.

Under the terms of his bail - which include giving up his three passports and having no smartphone access to the internet - he needed the court's approval to attend.

Nissan, Renault and Mitsubishi plan to set up a joint board meeting structure under which Renault's new chairman, Jean-Dominique Senard, is likely to take the chair, people with direct knowledge of the matter told Reuters.

The notice will be sent out Thursday, Nissan Motor Co. said Wednesday.

The notice from Nissan says its investigation also found Ghosn used company money for personal expenses.

Nissan is part of an alliance with Renault SA of France, and more recently with Japan's Mitsubishi Motors, that was largely cobbled together by Ghosn, who led Nissan for two decades.

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The notice did not give specifics, but sources familiar with the investigation have pointed to fancy homes in Lebanon and Brazil, as well as expensive furnishings such as a chandelier.

He was granted bail last week at the third time of asking, with bail set at 1 billion yen (9 million US dollars) and released under the provisos that he will not leave Japan and remain under limited video surveillance at the entrance to his residence. Nissan said Ghosn wielded too much power, creating a lack of oversight and corporate governance.

Conditions for his bail restrict his activities to prevent him from any tampering with evidence.

The automaker has said it intends to appoint a new chairman based on proposals by the committee.

It is unclear who will become Nissan chairman.

Nissan holds a 15% non-voting stake in Renault, whose biggest shareholder is the French government.

Ghosn's dramatic arrest in November has caused concerns about the future of the three-way alliance, the world's largest maker of automobiles excluding heavy trucks.

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