Carlos Ghosn's release from prison postponed

Carlos Ghosn's release from prison postponed

2nd Jan 2019 11:57 am

Nissan's former chairman will stay in prison until January 11 as prosecutors want to continue questioning him.

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Ex-Nissan chairman Carlos Ghosn will now remain in prison until January 11, 2019, following a request by prosecutors to continue questioning him for 10 more days in the wake of his re-arrest on 21 December, 2018. 

Ghosn was expected to be released from prison on New Year's Day, but the suspicion that he shifted a large private investment loss onto Nissan in the aftermath of the 2008 financial crisis has prompted further investigation. 

Ghosn has already been formally charged with financial misconduct – over claims he under-reported his salary over a five-year period – in Japan. His lawyer, Motonari Otsuru, issued a written statement on December 23 explaining that his client's actions did not constitute a breach of trust, and that the payments identified by prosecutors were made for work completed by an unidentified person at Nissan.

The architect of the Renault-Nissan-Mitsubishi alliance, Ghosn was arrested in Japan in November accused of under-reporting his salary, using company assets for personal use and other claims.

He was stripped of his chairman roles at Nissan and Mitsubishi after the allegations emerged, although he remains chairman and CEO of Renault.

Nissan has also been charged by prosecutors as a corporation involved in the case, according to Japan broadcaster NHK. Former Nissan representative director Greg Kelly, who was arrested at the same time as Ghosn, was indicted, too. The court rejected a request to extend his detention, so he was released on December 25.

If found guilty of the crimes he has been charged with, Ghosn could be sentenced to up to 10 years in prison and fined up to £4.9 million by Japanese financial regulators.

Ghosn has not issued any public statement following his arrest, but his defence team has denied the allegations of prosecutors, claiming that they are invalid because they do not relate to his salary but instead to future payments he was expected to receive after retiring.

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