Nissan Sues Carlos Ghosn in Japan

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Nissan Sues Carlos Ghosn in Japan

The suit is the latest in a series of legal broadsides by Nissan and Ghosn after he smuggled himself out of Japan in a box used for concert equipment.

Ghosn has sued Nissan in the Netherlands, seeking 15 million euros ($16.4 million) in damages for wrongful termination from a joint venture between Nissan and Mitsubishi Corp.

Ghosn was paid around $8 million from the subsidiary in 2018, which people familiar with Nissan’s internal investigation said was done inappropriately.

Ghosn has denied wrongdoing and said that the payments flagged by Nissan and Japanese prosecutors were known to people at Nissan and approved through the appropriate channels.

Nissan’s suit in Japan aims to recover costs related to Nissan’s monthslong investigation into Ghosn, the person familiar with the filing said.

The car maker has spent millions of dollars in legal fees and diverted a large portion of its audit and legal team to the investigation.

The suit also seeks to recover legal and regulatory costs incurred by Nissan in Japan, the U.S., the Netherlands and in other jurisdictions.

Nissan is a co-defendant on one of the criminal charges against Ghosn in Japan. The company was also investigated by Japanese and U.S. regulators.

The suit also seeks damages for inappropriate use of company housing, corporate jets and payments to his sister and a lawyer in Lebanon.

Source: The Wall Street Journal