Nissan seeks $90m damages from former boss Ghosn

Nissan is suing its fugitive former chairman Carlos Ghosn for $90.0m, the Japanese car giant announced on Wednesday.

Nissan has filed a civil lawsuit at the Yokohama District Court in Kanagawa, Japan. It is seeking an initial amount of ¥10.0bn, “in order to recover a significant part of the monetary damages inflicted on the company by its former chairman as a result of years of his misconduct and fraudulent activity.”

It added: “The size of the damages claim is expected to increase in future, as Nissan seeks to recover fines to be paid to the Japanese Financial Services Agency and likely penalties imposed on the company in criminal proceedings relating to Ghosn’s misconduct.”

A giant of the car industry who is credited with rescuing Nissan when he took over the then-struggling company in 1999, Ghosn was arrested at Tokyo airport in November 2018 on charges of financial misconduct. He was eventually placed under house arrest while on bail awaiting trial, but late last year absconded to Lebanon, which does not have an extradition treaty with Japan. He claimed he would not have received a fair trial in Japan.

Ghosn, who grew up in Lebanon, has consistently denied all and any wrongdoing.

In a statement reported by the BBC, Ghosn responded to the lawsuit: “Nissan’s manoeuvres continue: this complaint is made public on the eve of the Japanese group’s financial results.

“We note that after months of announcing damages of ¥35bn, Nissan is now claiming 10 at the moment. Mr Ghosn’s lawyers will react on the merits of the case, once the content of the claim has been brought to their attention.”

Nissan said the claim was part of its policy of holding Ghosn accountable “for the harm and financial losses incurred by the company as a result of his misconduct. Nissan also reserves the right to pursue separate legal action over groundless and defamatory remarks made by Ghosn in comments to the media following his escape to Lebanon.”

In a press conference in Beirut last month, Ghosn accused the Japanese authorities and Nissan of conspiring together against him.