Nissan, Renault May Close Dutch Joint Venture After Ex-CEO's Arrest- Reports

TOKYO (Sputnik) - Japan's Nissan Motor and France's Renault are considering the closure of their joint venture in the Netherlands in order to establish a new management structure of the alliance after the arrest of Carlos Ghosn, former chairman and CEO of both automakers, the Kyodo news agency reported, citing sources familiar with the situation.
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The Amsterdam-based joint venture, Renault-Nissan B.V. was chaired by Ghosn, until he was taken into custody in November last year, the Kyodo news agency said. Nissan and Renault also reportedly launched a joint probe concerning the possible involvement of the co-venture in any financial fraud.

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The report comes after a court in Tokyo ruled to release Ghosn on bail of 1 billion yen (about $9 million) last week.

Ghosn and Greg Kelly, his right-hand man, were arrested in Tokyo on 19 November on suspicions of misreporting Ghosn’s earnings to Nissan over a five-year period from 2010. Ghosn has denied all accusations brought against him.

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Following the arrest, Nissan removed Ghosn from the post of its chairman. On 25 December, Kelly was released on bail.

In January, Ghosn resigned as chairman and CEO of Renault, which prompted the French automaker to conduct a management reshuffle.

 

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