[GTO]

Originally Posted by D33-PAC

For those of you who have time or the interest - does anyone know how rich and invested Carlos Ghosn would have to be to have enough shares to not be kicked out

Not just shares, but 'shares with voting rights' is important. Something like what Mark Zuckerberg has (~60% of voting shares) makes you untouchable. In most companies, all things being the same, 51% puts the ball in your court.

Of course, it varies from company to company and across different classes of shares. Here are some good replies - How does Bezos control Amazon with only 17% of shares?.

[ajmat]

As per the latest released, Carlos Ghosn has been sacked from Nissan
https://www.bbc.com/news/business-46298999

[GrammarNazi]

I wonder what will be the effect on the future of such company & its brand/group in Indian operations.

P.S. :
I wonder if this would've happened if this was any Indian Corporate-Giant..?

Ofcourse everyone is innocent until proven guilty, but would such a preventive step ever be taken in any LARGE Indian company ? Credit where its due to the commendable corporate governance in Japan !

[D33-PAC]

Originally Posted by AMG Power

Absolutely no way. Not in this scenario.

Such actions would happen only when he has rubbed the Board (his equals) or external authorities the wrong way.

A leader as strong as Ghosn would have very easily sensed if there were any issues at his second or third line and dealt with it effectively not allowing it get to this state. His grapevines would be well oiled. He wouldn't have got to where he is if he were lame enough to allow that to happen.

Additionally it appears that his second line is actually rooting for him to remain in Renault while the government wants him replaced. Another indication of the political nature of this incident.

How can you be so certain ? The guy was apprehended at an airport with a police force. Mind you this isn't a typical white collar apprehension where someone within the company puts you in line. This is a fully criminal conviction. Stopping an exec at an airport with the authorities is a huge indignity - and there have been much more sinful acts in recent Japanese corporate history.

And I've seen enough Japanese bullshit to know that the Japanese are far from what they claim to be . Japanese culture is generally associated with high ethics, morals, and values. The reality is they have their fare share of embarrassments.

There are a list of high profile Japanese companies committing fraud and lying shamelessly.

TAKATA, Kobe Steel (falsification of data to pass regulations), so on - so forth. The Japanese authorities involved in this have got away scot free despite being in a position of causing grave injury to the end-customer. This is a matter of killing someone if you approved an unworthy product.

Normally I'd agree with you, but I've seen enough cheap behavior from the Japanese to think they'd be forthcoming and act with total integrity .

I'm not saying Carlos Ghosn is clean, but I've seen enough to know the Japanese are far from straight. How can the senior management of TAKATA - which caused deaths by selling and approving faulty airbags get away with 0 jail time ? And just for under-reporting and using company assets Carlos Ghosn is apprehended at the airport with police that too in a surprise fashion with 0 intimation to him of unwarranted corporate conduct ?

- - Here's a list of recent Japanese corporate scandals, what Ghosn did is child's play compared to the sins committed by Japanese executives.

- KYB and Kawakin Holdings: The two Japanese makers of shock absorbers for buildings seperately disclosed in one week that they had falsified data on the quality of their shock absorbers since at least 2003 (2018)

- Toray Industries Inc: The company admitted to falsifying quality test data in a 149 cases between 2008-2016 (2017)

- Mitsubishi Materials: Company admitted to product data falsification at three subsidiaries for products used in crucial parts of aircraft and cars (2017)

- Kobe Steel: Falsified strength and durability data for its products at 23 domestic and overseas plants going back years (2017)

- Nissan Motor: Recalled more than a million vehicles because of falsified quality control checks (2017)

- Subaru: Falsified quality control data (2017)

- Mitsubishi Motors: Caught yet again for falsifying fuel economy tests (2016)

- Suzuki Motors: Admitted to falsifying records (2016)

- Asahi Kasei: Admitted to falsifying construction records for scores of large buildings which resulted in these building tilting over (2015)

- Toshiba: Serious accounting irregularities over the course of seven years discovered (2015)

- Lixil: Significant accounting irregularities uncovered (2015)

- Toyo Tire and Rubber: Company caught falsifying data on its products, leading to resignations of senior management (2015)

- Bridgestone: Indicted by the U.S. Justice Department, resulting in a $425 million criminal fine (2015)

- Hitachi: The company agreed to pay $19 million to The Securities and Exchange Commission (U.S.), which had charged Hitachi, Ltd. with violating the Foreign Corrupt Practices Act (2015)

- Novartis: Top Japanese executives at the Japanese unit quit after they admitted to falsifying data on the company' drugs (2014)

- Riken: Admitted to one of the world's worst scientific frauds, when it was disclosed that it had falsified research results (2014)

- Takata: Company found to have been hiding information about its defective airbags for tens of millions of cars, resulting in the largest auto recall in history (2014)

- TOKYU HOTELS and Takashimaya Co: The two companies admitted to food fraud and false labeling of food products (2013)

- Daio Paper: Financial irregularities discovered (2011)

- Olympus: Huge accounting irregularities going back years found by new British CEO Michael Woodford (2011)

- Nikko Cordial Corp: Significant financial irregularities uncovered (2006)

- Kanebo: Ceased operating as an independent company after discovery of falsified financial reporting (2005)

- Seibu Railways: Delisted from the Tokyo Stock Exchange after discovery of financial irregularities (2004)

- TEPCO: Company found to have filed at least 29 falsified reports with nuclear safety regulators since the 1980s leading up to the Fukushima disaster (2002)

- TOKYU CORPORATION, Snow Brand and Nippon Meat: These three large companies were caught intentionally mislabeling food products sold at Tokyu Store supermarkets and other places (2002)

- Bridgestone: Forced to recall millions of tires after the U.S. National Highway Traffic Safety Administration linked hundreds of accidents and at least 46 deaths to problems with the tread on its tires (2000)

- Mitsubishi Motors: Company revealed that it had covered up safety defects and customer complaints about its vehicles (2000). Four years later, it made further admissions of a broader cover-up going back decades.

- Long Term Credit Bank of Japan: Nationalized after it was found that the bank had been falsifying financial statements (1998)

- Yamaichi Securities: Filed for bankruptcy after accounting irregularities discovered (1997)

- Daiwa Bank: U.S. Federal Reserve ordered the bank's branches closed after finding that Daiwa, in collaboration with the Ministry of Finance, had hidden more than a billion dollars of losses (1995)

[volkman10]

Nissan's Press Release on removal of Carlos Ghosn,

Renault- Nissan alliance remains intact.

[AMG Power]

Originally Posted by D33-PAC

And I've seen enough Japanese bullshit to know that the Japanese are far from what they claim to be . Japanese culture is generally associated with high ethics, morals, and values. The reality is they have their fare share of embarrassments.

There are a list of high profile Japanese companies committing fraud and lying shamelessly.
...
Normally I'd agree with you, but I've seen enough cheap behavior from the Japanese to think they'd be forthcoming and act with total integrity .

I've seen enough to know the Japanese are far from straight. How can the senior management of TAKATA - which caused deaths by selling and approving faulty airbags get away with 0 jail time ? And just for under-reporting and using company assets Carlos Ghosn is apprehended at the airport with police that too in a surprise fashion with 0 intimation to him of unwarranted corporate

Whoever said the Japanese were straight?? You're echoing my thoughts on the drama being enacted. Don't know how you got the opinion my views were different. Welcome to the club!

[cityslicker86]

There was a time when Carlos Ghosn was the saviour of Nissan, the jewel of Japan, which was burning to the ground. He fought the odds and brought back the glory of the company. They hailed him, because they needed him. Now, it appears, they don't.

The Joker said it well. So well.

[ajmat]

The more I read, the more it gets complicated.

Summarising, Nissan were forced into a marriage of unequals. Due to the bulk of non-voting shares, Nissan had very little leeway in remaining independent. They appreciated the alliance but hated the lack of control.

I wouldnt be surprised if this was a long term plot - lull Carlos Ghosn into a nice tax saving dodge and "whistleblow"

This is one conspiracy theory. However, Nissan still need to resolve the fact that Renault still call the shots.

[rrsteer]

Why am I not surprised?
Probably Julie Hamp (ex-Toyota executive) can help Carlos Ghosn understand the situation better.

https://www.npr.org/sections/thetwo-...n-drug-charges

[AutoSphere]

Originally Posted by ajmat

The more I read, the more it gets complicated.

..I wouldnt be surprised if this was a long term plot - lull Carlos Ghosn into a nice tax saving dodge and "whistleblow"

+1 Anything is possible and absolutely probable in the corporate world.. New strategy that may trickle into the Indian corporate world, especially looking at so many tax evasion avenues

[GTO]

Originally Posted by ajmat

This is one conspiracy theory. However, Nissan still need to resolve the fact that Renault still call the shots.

That's the thing! If Nissan didn't like the arrangement, this is only going to make things worse for them. Renault still has a lot of control over Nissan due to the share structure, whereas Nissan is a small shareholder without any voting rights in Renault.

However, this series of events might have just avoided (or delayed???) the Renault-Nissan merger that Nissan was vehemently opposed to.

[ajmat]

Originally Posted by rrsteer

Why am I not surprised?
Probably Julie Hamp (ex-Toyota executive) can help Carlos Ghosn understand the situation better.

https://www.npr.org/sections/thetwo-...n-drug-charges

Importing personal prescriptiion pills when unaware of the rules - maybe one can get way with a rap on the knuckles.

Importing them as a necklace - oh god! what were they thinking

[rrsteer]

Originally Posted by ajmat

Importing personal prescriptiion pills when unaware of the rules - maybe one can get way with a rap on the knuckles.

Importing them as a necklace - oh god! what were they thinking

There was wide speculation at the time that she was set up.

Even though she had the CEO's blessings, Toyota long timers didn't like the idea of a foreign female executive being flown into Japan to direct things to them.

In that sense the Japanese corporate culture can be quite mean. The way they pull each other down during an enkai, just to be on the good looks of their managers is sometimes hilarious!

[sgiitk]

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[RM Motorsports]

NHK has learned that there was an arrangement in place to pay former Nissan chairman Carlos Ghosn about 8 billion yen, or about 71 million dollars, after he stepped down from his post.

https://www3.nhk.or.jp/nhkworld/en/news/20181124_16/