Business

Renault Preparing to Replace his Boss

Renault is moving to replace its boss, Carlos Ghosn, who is in detention on charges of financial misconduct?

Sanjana Mukhiya

Carlos Ghosn, born March 9, 1954, is a Brazilian-born businessman who also has French and Lebanese nationality. Ghosn has served as the CEO of Michelin North America, chairman, and CEO of Renault, chairman of AvtoVAZ, chairman and former CEO of Nissan, and chairman of Mitsubishi Motors.

Ghosn was also chairman and CEO of the Renault-Nissan-Mitsubishi Alliance, a strategic partnership between those automotive manufacturers through a complex cross-shareholding agreement.

Ghosn stepped down as CEO of Nissan on April 1, 2017, while remaining chairman of the company. He was arrested at Haneda Airport on 19 November 2018, on allegations of under-reporting his earnings and misuse of company assets.

On November 22, 2018, the company's board made a unanimous decision to dismiss Ghosn as Nissan's chairman, followed by Mitsubishi Motors' board on November 26, 2018. During this period, Renault and the French government have continued to support him, presuming him innocent until proven guilty.

The French carmaker has kept Mr. Ghosn on as chief executive and chairman since he was first arrested in November.

The reports come after a Tokyo court rejected a request for bail on Tuesday. Lawyers for Mr. Ghosn, who denies any wrongdoing, have said he could remain in custody for months.

The 64-year-old was the architect of the Renault-Nissan alliance and brought Mitsubishi on board in 2016. Both Nissan and Mitsubishi sacked him as chairman after his arrest, but Renault has so far kept him on as he awaits trial.

The French government, which has a 15% stake in Renault, has requested a board meeting to consider candidates to replace him.

The board meeting may take place this weekend.

Ghosn's wife urges action on 'harsh' detention. Michelin chief executive Jean-Dominique Senard was named in several reports as a likely candidate to replace Mr. Ghosn as chairman.

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