TOKYO: Nissan Chief Executive Makoto Uchida told a Japanese court on Wednesday that the company’s former chairman, Carlos Ghosn, had held too much power, failed to listen to others, and stayed on for too long.
Uchida said Wednesday that those were factors that led to financial misconduct charges for Ghosn. He was testifying as a witness for Nissan Motor Co., which as a corporate entity is standing trial on charges of having falsified securities reports in under-reporting Ghosn’s compensation. It does not contest the charges.
Greg Kelly, an American former executive vice president at Nissan, also is on trial on charges of failing to fully report Ghosn’s compensation. Both he and Ghosn have adamantly insisted they are innocent.
Ghosn was arrested in 2018, but fled to Lebanon while out on bail. Lebanon does not have an extradition treaty with Japan.
“I felt ashamed and miserable when I learned that something this outrageous was happening,” Uchida told the Tokyo District Court about the allegations against Ghosn and Nissan.
“The Nissan brand was tarnished, the workers were demoralized, and trust for management has been lost,” he said.
Uchida said an atmosphere of fear prevailed at the company, with staff believing that challenging Ghosn carried serious risks.
Ghosn was sent to Nissan by its French alliance partner Renault about two decades ago, helping to revive a company on the brink of bankruptcy. From about 2014, he became less collaborative and the company began to chase sales volume, setting overly ambitious goals, Uchida said.
The accusation that Ghosn stayed at Nissan’s helm for too long is at odds with Kelly’s insistence that the company was trying to find legal ways to pay Ghosn and prevent him from leaving for a rival automaker. Ghosn took a huge pay cut when the disclosure of big executive salaries became required in Japan in 2010.
Uchida became chief executive and president in 2019. He worked at major Japanese trading company Nissho Iwai Corp. before joining Nissan in 2003, when Nissho Iwai merged with another trading company, Nichimen, later becoming Sojitz Corp.
Uchida’s predecessor, Hiroto Saikawa, resigned after he became embroiled in a scandal of his own, also related to under-reported compensation. Saikawa has not been charged.
Nissan has promised to strengthen its corporate governance and auditing checks to prevent a recurrence of any financial wrongdoing.
Ghosn has accused other top Nissan executives of plotting to force him out of the company due to fears he might push for Renault, which owns 43 percent of Nissan, to gain more control over the Japanese automaker.
Nissan executives have testified at the trial that this was a concern.
The alliance of Renault, Nissan and smaller automaker Mitsubishi Motor Corp. shares technology, auto parts and production plants. That makes Nissan and Renault nearly inseparable, according to industry experts.
It’s unclear when the panel of three judges will hand down their verdict in the trial. It could take months. The maximum penalty Kelly could face is 15 years in prison.
Nissan CEO tells Tokyo court Carlos Ghosn had too much power
https://arab.news/ydxdc
Nissan CEO tells Tokyo court Carlos Ghosn had too much power
- Ghosn was sent to Nissan by its French alliance partner Renault about two decades ago, helping to revive a company on the brink of bankruptcy
Saudi Arabia’s foreign reserves rise to a 6-year high of $475bn
RIYADH: Saudi Arabia’s foreign reserves climbed 3 percent month on month in January to SR1.78 trillion, up SR58.7 billion ($15.6 billion) from December and marking a six-year high.
On an annual basis, the Saudi Central Bank’s net foreign assets rose by 10 percent, equivalent to SR155.8 billion, according to data from the Saudi Central Bank, Argaam reported.
The reserve assets, a crucial indicator of economic stability and external financial strength, comprise several key components.
According to the central bank, also known as SAMA, the Kingdom’s reserves include foreign securities, foreign currency, and bank deposits, as well as its reserve position at the International Monetary Fund, Special Drawing Rights, and monetary gold.
The rise in reserves underscores the strength and liquidity of the Kingdom’s financial position and aligns with Saudi Arabia’s goal of strengthening its financial safety net as it advances economic diversification under Vision 2030.
The value of foreign currency reserves, which represent approximately 95 percent of the total holdings, increased by about 10 percent during January 2026 compared to the same month in 2025, reaching SR1.68 trillion.
The value of the reserve at the IMF increased by 9 percent to reach SR13.1 billion.
Meanwhile, SDRs rose by 5 percent during the period to reach SR80.5 billion.
The Kingdom’s gold reserves remained stable at SR1.62 billion, the same level it has maintained since January 2008.
Saudi Arabia’s foreign reserve assets saw a monthly rise of 5 percent in November, climbing to SR1.74 trillion, according to the Kingdom’s central bank.
Overall, the continued advancement in reserve assets highlights the strength of Saudi Arabia’s fiscal and monetary buffers. These resources support the national currency, help maintain financial system stability, and enhance the country’s ability to navigate global economic volatility.
The sustained accumulation of foreign reserves is a critical pillar of the Kingdom’s economic stability. It directly reinforces investor confidence in the riyal’s peg to the US dollar, a foundational monetary policy, by providing SAMA with ample resources to defend the currency if needed.
Furthermore, this financial buffer enhances the nation’s sovereign credit profile, lowers national borrowing costs, and provides essential fiscal space to navigate global economic volatility while continuing to fund its ambitious Vision 2030 transformation agenda.
