Mitsubishi: Ghosn ‘improperly received’ ¥1 billion in payments

The result of Mitsubishi’s internal investigation regarding Carlos Ghosn’s alleged misconduct is in, and it doesn’t look good.

Mitsubishi Motors Corporation (MMC) investigators found that the former chairman of the board “improperly received” payments amounting to approximately ¥1 billion (P500 million) from April 2018 to November 2018.

“The investigation revealed that Mr. Ghosn improperly received a payment as allegedly ‘Managing Director’s remuneration etc.’ from Nissan Mitsubishi B. V. (NMBV), which MMC and Nissan established on a 50-50 basis in the Netherlands in June 2017,” the MMC investigation statement reads.

“This payment was hidden from MMC, and MMC recognized this fact for the first time through the disclosure of information by Nissan after Mr. Ghosn was arrested in November 2018.”

The mishandled sum is about half of the Netherlands deal’s ¥2.095-billion service fee. This payment was based on an employment agreement between Ghosn and NMBV, which was concluded by someone not authorized to do so. What’s more, the agreement and transaction were hidden from NMBV directors Osamu Masuko and Hiroto Saikawa.

The statement says the company will investigate the matter further, and is considering to “pursue liability against Mr. Ghosn in collaboration with Nissan.”

“MMC has taken the fact that this kind of incident occurred within a related company of MMC seriously and will try to strengthen the internal controls of MMC, including those of its subsidiaries and related companies.”