Follow-up With Carlos Ghosn – #76
Many of the Nissan executives are gone, without being charged, but Carlos remains out on bail (restricted to Japan) until his sentencing next spring. The longer the pre-trial phase for Carlos lasts, the more dirt is being dug-up on the various dirty schemes that Nissan executives participated in. There are various versions of corruption rising to the top every day with various managers being added to the list of crooks who should be facing the same accusations, charges and jail time that Carlos is experiencing.
Why aren’t Hari Nada and Hirito Saikawa in jail in isolation cells awaiting a setting of court dates? It’s very interesting that both saw tremendous increases in earnings, but have the money that was absconded and are free from any charges and not in jail. Carlos never was paid, but he has done the time for months and will continue to do so. There were only six members of top management accused, but nobody knows their names and key info. We conservatively estimate that 50+ mangers were involved in fleecing Nissan. This was and is a Company that has no trust in any employee, and is full of conflicts of interest.
Also, the level of bias is definitely skewed towards the Japanese employee vs. a non-citizen. The first management lesson addresses this issue – how important is it for you to do business in a country that has such bias against non-citizens. Before you plan to do business in Japan, make sure you cover every possibility that you could possibly encounter. The following represents a chronological count-down from March 1st in key events surrounding Ghosn’s jail and bail time until October 8th, 2019:
- 3/21- Lawyer starts push to begin trial. Ghosn charged with two counts.
- 3/13 – Carmakers retool alliance after Ghosn’s exit – still a board member. Courts would not approve attendance in Board meetings
- 3/14 –Operating margins at Renault 6.3%, at Nissan 4.8% but Toyota was at 8.2%.
- 5/1 – Auditor finds Ghosn Ran Up Millions in Suspect Expenses
- 6/28 – Nissan shareholders attack Mr. Saikawa on a fix for U.S. market
- 6/28 – Nissan to cut 9% of global workforce or 12,500 jobs
- 8/3 – Renault in talks with Fiat as well as Nissan
- 9/10 – Nissan ousts CEO Saikawa after probe finds He pocketed extra pay.
- 9/12 – Nissan withholds 170 page report which had all the evidence gathered against Carlos. Could it be that Nissan chose not to provide the report to Directors due to fears of what other info might rise to the top of the pile showing names and facts which could reach a point of eliminating the top level of Nissans management team?
- 10/9 Nissan names three executives to new Leadership team who will be responsible to reverse a profit slide and relationships with alliance partner Renault SA. Remember TEAM is a four letter word.
Piling on fake news and facts is something we are witnessing in the politics of the U.S. today. It is the aim of our staff to keep you posted on this eventful cue at Nissan, and to watch how Nissan handles this cover-up. It should be an interesting trial with Nissan already working the defense case to minimize the potential and explosive facts about their cesspool to be presented the Japanese people.
We might have spent too much time in Ghosn’s corner, but I am proud of the staff for calling out the fact that he was a snake that waited nearly twenty years to pay-back Ghosn for breaking Japans secret vow of lifetime employment and who didn’t know anything about the U.S. market. Add in a cover-up of $400M fraud and you can see why I am proud of our group. They had Saikawa nailed right from the start! We promise to keep you posted.