PARIS — On November 20, 2018, France’s finance minister said Carlos Ghosn was no longer in a position to lead Renault after his arrest in Japan, as pressure mounted on the carmaker over the future of its chairman and chief executive.
French Finance Minister Bruno Le Maire told France Info radio that Ghosn could not continue in charge and said Renault should put in place an interim management structure while the matter was being handled.
Nissan said on Monday that an internal investigation had found wrongdoing by Ghosn, including the personal use of company money and the under-reporting of his pay for years. Nissan also said he had been arrested and would be removed from its board that week.
The French state owns 15 percent of Renault, and Renault in turn holds a 43.4 percent stake in Nissan. That cross-shareholding made the case politically sensitive in Paris as well as commercially important for both companies.
Le Maire said he would speak with his Japanese counterpart and stressed that France’s priority was to keep Renault stable. He also said the Renault-Nissan partnership served the interests of both countries and both companies.
“Renault has been weakened, which make it all the more necessary to act quickly,” said Le Maire.
Renault shares fell 2.6 percent in early trading after having dropped 8.4 percent on Monday. Le Maire also said he had asked French tax authorities to examine Ghosn’s affairs, and that they had found nothing of particular note.
FILE PHOTO: Carlos Ghosn, chairman and CEO of the Renault-Nissan-Mitsubishi Alliance, attends a press conference on the second press day of the Paris auto show, in Paris, France, October 3, 2018. REUTERS/Regis Duvignau
