from the we-should-get-together-some-time dept.
Paris informs Tokyo it wants Renault and Nissan to integrate[*]
A French government delegation has informed Tokyo that it would seek an integration of Renault and Nissan, most likely under the umbrella of a single holding company, the Nikkei reported on Sunday.
The delegation, which included French government-designated Renault director Martin Vial, also said that it wanted to name Nissan's next chairman, according to the report. Nissan was not immediately available for comment.
Nissan ex-chairman Carlos Ghosn, arrested and detained in Tokyo since Nov. 19, has been indicted in Japan on charges of under-reporting his salary for eight years through March 2018, and temporarily transferring personal investment losses to Nissan during the global financial crisis. Ghosn has denied all charges.
[*] Noscript caused issues for me; same story can be found at U.S. News & World Report.
Previously: Nissan Motor Chairman and Others Set to be Indicted
Related Stories
Prosecutors set to indict Ghosn and Nissan as CEO's role in focus: sources
Tokyo prosecutors are due to indict ousted Nissan Motor Chairman Carlos Ghosn as well as the automaker itself on Monday, sources said, intensifying scrutiny of CEO Hiroto Saikawa's role in the financial misconduct scandal.
Ghosn was arrested on Nov. 19 on suspicion of conspiring to understate his compensation by about half of the actual 10 billion yen ($88 million) over five years from 2010. Nissan has said the misconduct was masterminded by the once-celebrated executive with the help of former Representative Director Greg Kelly.
Tokyo authorities plan to re-arrest the two executives, the sources said, declining to be named as they were not authorized to speak with media. Media reports have said the fresh crime was for three additional years of under-reported income. The two would then remain in custody without bail. Nissan itself is also likely to be indicted for making false statements in an annual report, they said. A separate source said there were concerns running through the company that Chief Executive Hiroto Saikawa and others may also be indicted.
Earlier, Nissan sought to block Carlos Ghosn from accessing his company-owned apartment in Rio de Janeiro, fearing that he would remove or destroy evidence related to his misconduct.
Ghosn: Bail conditions revealed by lawyer
The lawyer for former Nissan chief Carlos Ghosn has revealed the terms his client had to meet to secure his initial release from custody on bail. Conditions the 65-year-old had faced included using a sole computer, in his lawyer's office, and one mobile phone. A 24-hour surveillance camera also had to be installed at the entrance of his court-approved permanent residence.
Mr Ghosn was re-arrested in Tokyo last week, pending trial over claims of financial misconduct. He has been detained over suspicions that he tried to enrich himself at the carmaker's expense. In a statement, Mr Ghosn - who denies any wrongdoing - said his re-arrest was "outrageous and arbitrary".
Previously: Nissan Motor Chairman and Others Set to be Indicted
French Government Seeks Integration of Renault and Nissan Automakers
Former Nissan Chairman Carlos Ghosn Flees from Japan to Lebanon
Carlos Ghosn, Nissan's ex-head, flees Japan to Lebanon
Former Nissan boss Carlos Ghosn has travelled to Lebanon after fleeing Japan, where he faces a trial over allegations of financial misconduct. In a statement, Mr Ghosn said he had not fled justice but "escaped injustice and political persecution".
His lawyer said he was "dumbfounded" by the news and that he had not recently spoken with his client. It is unclear how the former chief executive officer managed to leave, as he was barred from travelling abroad.
Mr Ghosn, who has an estimated net worth of $120m (£91m), was one of the most powerful figures in the global car industry until his arrest in November 2018. He denies any wrongdoing. His case has attracted global attention and his months-long detention led to increased scrutiny of Japan's justice system.
The 65-year-old was born in Brazil to parents of Lebanese descent and was raised in Beirut, before travelling to France for further education. He holds French, Brazilian and Lebanese passports.
(Score: 2, Interesting) by Anonymous Coward on Monday January 21 2019, @04:26AM (8 children)
French cars are often technically interesting, but aside from that they're pretty much crap with respect to quality and reliability. French cars are not even sold in the US market any more and there are good reasons for that, which relate to the aforementioned issues.
Nissan builds a good product and has for many years. What the French have to offer Nissan is a mystery. I expect those in charge at Nissan have similar thoughts.
(Score: 2) by arslan on Monday January 21 2019, @04:39AM (1 child)
Given Renault owns a majority stake in Nissan, answering that question is probably not the driver for Renault; the question would be more like "What's in it for Renault?"
This is an interesting move, makes the conspiracy theory of the arrest a signal from the Japs to the Frenchies to back-off seems more realistic. Now the Frenchies are calling their raise.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @04:57AM
Maybe they're just really annoyed with Frenchies making a mess in Japan. MtGOX's chief Mark Karpelès is out on bail in Japan, still waiting to be tried himself.
(Score: 1) by khallow on Monday January 21 2019, @04:50AM (2 children)
I doubt they'll merely ask nicely. There's probably a threat in there somewhere. Something is up from the start, since the French government is involved.
According to Wikipedia, France owns 15% of Renault. Perhaps as a initial counterproposal, Japan could propose that France sells off completely its stakes in the automotive industry and eliminate a large conflict of interest prior to the proposed merger?
(Score: 2) by c0lo on Monday January 21 2019, @08:00AM (1 child)
Knowing Renault controls Nissan, where's the conflict of interest when a major stakeholder of Renault advances the idea of a full merger?
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 1) by khallow on Monday January 21 2019, @01:58PM
There's always conflict of interest unless the major stakeholder is the only stakeholder and doesn't have any obligations, like say, governing France, that would conflict with the company's goals (I'm not too concerned about the company being compromised in that situation, but rather the other obligation, France being compromised for Renault's benefit, for a current example, by using some of France's diplomatic capital for a petty business maneuver). These sorts of games is a big part of the reason why I don't think government should own part of the private world. Renault's poor reputation (mentioned earlier) is also probably in part due to ongoing government interference. That's another reason.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @06:16AM
At the time, Rensult had $.
(Score: 2) by MostCynical on Monday January 21 2019, @06:39AM
Eonomy of scale, design skills, global reach..
in some cases, the cars are more alike [caradvice.com.au] than they seem.
Don't forget India [wikipedia.org]
"I guess once you start doubting, there's no end to it." -Batou, Ghost in the Shell: Stand Alone Complex
(Score: 2) by fliptop on Monday January 21 2019, @11:04AM
Actually, any Nissan made before 2000 (the year they merged w/ Renault) is good quality. Since then the quality has been going downhill. They've been having major problems w/ their transmissions and at the shop I work at we routinely have to turn away chassis and suspension work, telling the customer it's a "dealer only" repair.
Scotty Kilmer sums the issue up quite nicely [youtube.com].
Our Constitution was made only for a moral and religious people. It is wholly inadequate to the government of any other.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @04:53AM (8 children)
It's a bit late for the French government to intervene - since the imprisonment of Carlos Ghosn it was apparent that Japan wants to return the company to the Japanese System.
Since Renault's leadership took over, the company has been pulled along the playbook of Western management, including changing the "corporate language" to English. I can't think that the Japanese should be joyed that Western interests were starting to gobble up bread and butter companies in their society, starting with Nissan, packaged and prepped for potential future sale to an auto marque portfolio in China. Hell, the name even means "Japanese Product".
The way they are doing it is going to hurt them hard in the long run though. Detaining investors to force "regime change" in their companies is going to make people think twice about investing in Japan. I'm definitely not now in the mood to throw more good money after bad in the Japanese market.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @05:37AM (4 children)
In Japan, the biggest market will be in funerals and crematoriums. They're going extinct.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @05:59AM
The price of used schoolgirl panties will skyrocket as they continue to have fewer children.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @06:24AM
They'll just make their society do with less people. Decreasing demand for people is the way of the world, and a lesson Americans better learn before another generation is deep in debt trying to get a job that pays the bills.
(Score: 0) by Anonymous Coward on Monday January 21 2019, @08:15AM (1 child)
Where those tentacles will move into? Inquiring minds want to know.
(Score: 2) by takyon on Monday January 21 2019, @02:37PM
America
[SIG] 10/28/2017: Soylent Upgrade v14 [soylentnews.org]
(Score: 1) by khallow on Monday January 21 2019, @02:19PM (2 children)
Who was detained to force "regime change"? Carlos Ghosn most likely committed fraud and embezzlement as claimed - Japan doesn't do such things for show. And as to the potential return of Nissan to the Japanese system, having a corrupt leader for the Renault–Nissan–Mitsubishi alliance is a great way to fuel that move.
But sure, I could see that official interest in Ghosn's potential illegal activities might be fueled by intelligence that Nissan was being prepped for sale to China (a battery division [china-certification.com] had already been sold to a Chinese company in August of last year). But that would mean that they still need criminal dirt in order to force the Japanese system takeover. Ghosn most likely provided that opportunity.
(Score: 0) by Anonymous Coward on Tuesday January 22 2019, @12:06AM (1 child)
If Ghosn has likely committed crimes as you seem to believe, the French government is sure taking its time replacing him as head of Renault. In a time when governments are eager to share evidence about corrupt activities.
(Score: 1) by khallow on Tuesday January 22 2019, @12:44AM
France? I doubt they're all that eager, especially for a company they own part of.