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Ghosn to Pay $6 Million, as Nissan-Mitsubishi Case Backfires

Fugitive former car executive Carlos Ghosn suffered a setback on Thursday when a Dutch court ordered him to repay 5 million euros ($6.1 million) in wages to Nissan and Mitsubishi in a case he had brought.

The case, one of a series of legal battles involving one of the best-known figures in the auto industry, centers around the Dutch-registered joint venture Nissan-Mitsubishi BV (NMBV), where Ghosn was ousted as chairman in 2019.

Ghosn claimed the Japanese companies violated Dutch labour laws when they dismissed him and had demanded compensation of 15 million euros for missed wages and severance payments.

But the district court in Amsterdam sided with the car companies, stating that Ghosn did not have a valid employment agreement with the joint venture, as it lacked the required consent of the boards of Nissan and Mitsubishi.

Ghosn was, therefore, ordered to pay back the 5 million euros in net payments he received from the Amsterdam-based joint venture between April and November 2018.

A spokesperson for Ghosn said the former chairman of the Nissan-Mitsubishi-Renault alliance would appeal the verdict so that the testimony of witnesses who would support his case could be heard.

Both Nissan and Mitsubishi said they were glad that their allegations were supported by the court.

“We are pleased that the court has dismissed Carlos Ghosn’s unfounded claims against NMBV and ordered Mr. Ghosn to repay the significant sums he appropriated unlawfully,” Nissan said in a statement. (Reuters)

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