Goy tuuhuud: Renault to bring case against Ghosn over expenses

Thursday, September 5, 2019

Renault to bring case against Ghosn over expenses

The prospect of new legal action backed by

France marks a new headache for the former Renault CEO, who was also Nissan chairman in the alliance with the Japanese carmaker, after his initial arrest in Tokyo in November.

Ghosn, who is a French citizen, was seen as a titan of the industry until his mounting legal troubles precipitated his spectacular fall.

"The (French) state will hand over all the elements to the judicial authorities and there will be a complaint," Le Maire told BFM TV in an interview.

"The state will play its role fully as a Renault shareholder. When the state has a shareholding like it does in Renault, its role is to assure that (corporate) governance works well," he added.

He said the conclusions of an internal audit carried out by Renault had uncovered "reprehensible" facts and it was now up to the judicial authorities to take the next decision.

'Extra costs of air travel'

The internal audit conducted by Renault and Nissan identified 11 million euros ($12 million) of questionable expenses at their Dutch subsidiary RNBV linked to Ghosn.

"These findings confirmed the existence of deficiencies within RNBV in terms of financial transparency and procedures for monitoring expenditure," Renault said in a statement late Tuesday.

It said that the company was looking into legal action over Ghosn's "extra costs of air travel" and other expenses "as well as exploring recovering from Mr Ghosn gifts made to some non-profit organisations."

Any legal action would be in the Netherlands, where RNBV is based.

Reacting to the allegations stated by Renault, Ghosn's French lawyer Jean-Yves Le Borgne lashed out at what he said was the opacity of the process, demanding access to all the documents.





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