Nissan Shareholders OK Ouster Of Ex-chair Ghosn

Nissan's shareholders ousted the automaker's former chairman Carlos Ghosn from its board on Monday, seeking to shut the door on an era capped by scandal.

More than 4,000 people gathered at a Tokyo hotel for a three-hour extraordinary shareholders' meeting and signalled their approval for dismissing Ghosn with applause.

They also approved the appointment of French alliance partner Renault SA's Chairman Jean-Dominique Senard to replace Ghosn. Renault owns 43 percent of Nissan.

"I will dedicate my energy to enhance the future of Nissan," said Senard, who was introduced to the shareholders at the meeting's end. He promised to do his best to keep the automaker's performance on track.

Ghosn was first arrested in November for allegedly under-reporting his compensation and for breach of trust. He was released on bail in early March and then re-arrested for a fourth time last week.

The latest arrest involves new allegations that US$5 million from a Nissan subsidiary meant for an Oman dealership was diverted to a company effectively controlled by Ghosn. Ghosn says he is innocent.

Nissan's Chief Executive Hiroto Saikawa and other top managers bowed low in apology to shareholders. "I deeply, deeply apologize for all the worries and troubles we have caused," Saikawa said. "This is an unprecedented and unbelievable misconduct by a top executive."

At the meeting, which was closed except to stockholders but livestreamed, angry shareholders demanded an explanation for how wrongdoing on an allegedly massive scale had gone unchecked for years. (AP)