TOKYO (Reuters) - Ousted Nissan boss Carlos Ghosn is back in the Tokyo detention center where he previously spent 108 days, after being released just last month on a $9 million bail.
His former employers, Japan’s Nissan and France’s Renault, initially appeared to be at odds over his case when he was first arrested in November, but now seem to have closed ranks against him.
Ghosn was arrested again on suspicion of funneling $5 million from payments made by a Nissan subsidiary to a third party for personal gain. An internal Nissan investigation has identified the party as a Nissan distributor in Oman.
He is already fighting charges of under-reporting his Nissan salary for nearly a decade through 2018, and a charge of temporarily transferring personal financial losses to Nissan’s books during the global financial crisis around 2008.
Renault too is investigating payments it made under Ghosn’s watch to the same company in Oman. The outcome of that probe could deepen the French automaker’s exposure to the scandal, which so far has been largely focused on Nissan.
HOW DOES THE NEW CHARGE AFFECT GHOSN’S TRIAL?
Ghosn’s lawyer has said the new charge will prolong his legal proceedings. It is, however, not clear how much more prison time he could face if charged and found guilty on the latest allegations.
Ghosn’s trial is expected to start later this year.
Arresting a suspect who has been released on bail is highly uncommon, and Japanese prosecutors have said they “humbly” recognized any international criticism over the latest arrest.
WHAT’S CHANGED SINCE GHOSN’S INITIAL ARREST?
Renault has also turned over evidence that the 50,000-euro ($56,145) rental of Ghosn’s Chateau de Versailles wedding in 2016 had been improperly charged to the company.
Nissan’s investigation has also revealed the purchase of several properties around the world, including a Beirut house, by the company for Ghosn’s use.
A joint audit of the Renault-Nissan BV alliance management organization has tallied 1.2 million euros in Lebanese donations and other spending of questionable benefit to the car makers, among preliminary results presented to Renault directors.
It has also been alleged that he used around $600,000 in Nissan funds to pay his children’s university tuitions.
If indicted, Ghosn’s legal team can apply, again, for bail.