Nissan CEO expects wide-reaching changes to board structure after Ghosn's ousting

Source: Xinhua| 2019-01-07 18:17:31|Editor: ZX
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TOKYO, Jan. 7 (Xinhua) -- Nissan Motor Co. CEO Hiroto Saikawa said Monday he is anticipating wide-reaching changes towards decentralizing power in the structure of the automaker's board following allegations that its former Chairman Carlos Ghosn defrauded the company.

"I am anticipating a quite deep and wide recommendation from the committee set by Nissan to improve corporate governance and I am ready to accept a fundamental change," Saikawa was quoted as telling local media Monday.

He indicated the changes would include a rise in the number of independent directors as well as a wholesale overview of the responsibilities of its chairman.

Saikawa opted not to comment on Ghosn's appearance at the Tokyo District Court on Tuesday, where the ousted chairman will be allowed to publicly hear the case for his detention since his arrest on Nov. 19 for allegations of financial misconduct.

During the hearing, Ghost will also be allowed to voice his opinions in court for the first time since his arrest on the allegations he vastly under-reported his remuneration.

Ghosn's detention is scheduled to end on Jan. 11 and prosecutors, by this time, must make an ultimate decision as to whether or not to indict him over the myriad charges facing him.

During the five years through March 2015, Ghosn has been alleged, among other improprieties, to have breached the Financial Instruments and Exchange Act by under-reporting his remuneration by five billion yen (46.20 million U.S. dollars) of his total 10 billion yen pay package.

He was subsequently dismissed by Nissan and Mitsubishi Motors Corp., triggering a leadership battle in the Nissan-Renault SA-Mitsubishi Motors Corp. automotive alliance.

Saikawa, for his part, said he is waiting to hear the outcome of a third-party committee formed in December to improve Nissan's corporate governance.