Renault’s Board of Directors has met under the Chairmanship of Philippe Lagayette, Lead Independent Director, and heard the preliminary conclusions of a review of under-fire Carlos Ghosn’s Renault compensation in the period 2015-2018 (the period of alleged financial misconduct at Nissan). The review concluded that his compensation was ‘in compliance with applicable law’.
Although the review looked at Ghosn’s Renault compensation, not Nissan compensation, the preliminary finding suggests he was not involved in endemic misconduct activity across the alliance companies and that misconduct charges against Ghosn are likely to remain a Nissan-only affair. Renault’s findings also mean that Ghosn remains in post as Renault CEO and chairman.
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In a statement, Renault said :
“Claude Baland, Senior Advisor in charge of Ethics and Compliance, and Eric Le Grand Chief Ethics and Compliance Officer, presented to the Board of Directors of Groupe Renault the current status of the review concerning the compensation of the Chairman and Chief Executive Officer of Renault for the years 2015-2018 which was undertaken on November 23, 2018. Their preliminary conclusion is that the compensation of the Chairman and Chief Executive Officer of Renault and the conditions under which such compensation was approved were in compliance with applicable law as well as the recommendations of the AFEP-MEDEF.”
In addition, Renault’s lawyers provided the Board of Directors of Renault with a report on the presentation made to them by Nissan’s lawyers concerning the investigation they carried out at Nissan.
The Board of Directors requested that Renault’s lawyers continue their review and assessment of the information provided, in liaison with Nissan’s lawyers, and promptly provide the Board with a new update on the situation.
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By GlobalDataFurthermore, the Board of Directors noted that, at this stage, it does not have information concerning Carlos Ghosn’s defence.
Based on these elements, the Board of Directors decided to ‘maintain the current governance measures established on November 20, 2018’ – these kept Carlos Ghosn in post as chairman and CEO, but with COO Thierry Bolloré in an elevated role temporarily.
More: Ghosn charges create turmoil in Renault-Nissan-Mitsubishi Alliance
