Dagger Points Everyone should read this article. It will give us great insights if we are willing to ask more questions. Maybe we should be asking how the things we have been reading could occur. Many will say, this is a one-time case, I say, if it has happened once, it is happening inside other companies and institutions as we speak. It may not be to the extent we see here but it is still miss use of funds. The question we might should be asking is why aren’t those that were involved not speaking up? Others had to know, so shouldn’t they be held accountable too? I encourage each of you to ask for the P&L as a starting place of your cities, your universities, non-profits and then of public corporations as stockholders it is a little different. For sure, read their P&L’s, yet understand where the losses are really coming from.
By Sean McLain and Megumi Fujikawa
TOKYO—Nissan Motor Co.’s former Chairman Carlos Ghosn’s chances of bail were derailed Friday when prosecutors cited new suspicions that he shifted personal losses to Nissan, in a move that keeps him behind bars longer.
Prosecutors said they suspected that in October 2008, in the midst of the global financial crisis, Mr. Ghosn temporarily forced Nissan to take over a personal derivative contract that was sitting on ¥1.85 billion ($16.6 million) in losses at the time.
Mr. Ghosn later took back the contract onto his personal books and received help from an unidentified person in submitting a statement backing up his credit to the bank on the other side of the contract, prosecutors said in a statement outlining their suspicions. Then, between 2009 and 2012, Mr. Ghosn had a Nissan subsidiary transfer a total of $14.7 million into an account controlled by that person, the statement said.
Those suspicions, if proven, would constitute “special breach of trust,” a criminal violation under Japan’s company law that signifies an executive has abused his position for personal gain, prosecutors said.
By citing the new suspicions, prosecutors gained the right to hold Mr. Ghosn without bail for two days. They can then apply to the Tokyo District Court to extend that detention period by 10 days. That period can be extended once for a total of 20 days.
Mr. Ghosn was indicted on Dec. 10 on charges of underreporting his compensation on Nissan’s financial statement over a five-year period ending in March 2015. At the same time, prosecutors cited new suspicions that Mr. Ghosn underreported his compensation for the three years ending in March 2018, using that as a basis to extend his detention without bail.
On Thursday, prosecutors suffered a rare loss after a judge rejected their request to hold Mr. Ghosn for 10 more days without the possibility of bail on the basis of those additional suspicions.
It is rare for a court to reject a request to extend the detention period, said Tokyo deputy chief prosecutor Shin Kukimoto on Thursday.
Mr. Ghosn’s lawyer, Motonari Otsuru, filed a petition for bail after prosecutors lost the hotly contested detention hearing, according to a person familiar with Mr. Ghosn’s legal defense. The new suspicions came shortly before the scheduled bail hearing on Friday.
Mr. Otsuru said his client maintains his innocence and hopes to restore his honor at trial. Japanese broadcaster NHK earlier first reported Mr. Otsuru’s comments.
The new suspicions cited by prosecutors Friday did not involve Greg Kelly, a longtime aide to Mr. Ghosn who was charged with helping underreport Mr. Ghosn’s compensation. Mr. Kelly’s Japanese lawyer said Friday that he has filed an application for Mr. Kelly’s release on bail. The lawyer has said he thinks Mr. Kelly’s innocence will be proved in court.
My name is Larry Treas and I am CEO and Head of New Thinking at Dagger. I have 35 years of witnessing the madness that blows through companies around the world, and it’s a foul breeze. I created the Dagger Guild to forge peer discussions, mentoring sessions, and specific information pipeline deliverables to address, solve and alleviate the standard issue nothingness you go through daily. Dagger has no allegiance, no affiliation, and no ties to carriers, vendors, advertisers or telecom marketers of any kind. As a result, our advice is both untethered and unbiased.
You can see from my CV/resume my track record and years of experience. The Dagger Guild is my dream built upon the belief that together, we will create the next generation of heroes.