Renault’s Chief Operating Officer (COO), Thierry Bollore has been appointed as the Deputy CEO of the French carmaker, who will assume the day-to-day responsibilities of chairman and CEO Carlos Ghosn, who was arrested in Tokyo earlier this week.
Renault released a press statement: “Mr. Ghosn, temporarily incapacitated, remains Chairman and Chief Executive Officer. The Board of Directors resolved to appoint Mr. Thierry Bolloré on a temporary basis as Deputy Chief Executive Officer.”
The board said that Bollore will lead the company and have the same powers as Ghosn. Philippe Lagayette, Lead independent director, will look after Ghosn’s responsibilities as chairman.
Ghosn, who is 64 years old, has had served simultaneously as the CEO of Renault, chairman of Japanese carmaker Nissan and the head of a strategic alliance among those automakers and another Japanese automaker, Mitsubishi.
Carlos Ghosn has been accused of under-reporting millions of his income to Japanese authorities over the years and to have misused company funds. The figure is reported at US$ 44 million, however, many suspects it being a case of interval rivalry between the executives.
After the Ghosn arrest, the complex car makers alliance as coming under a lot of tension.
The Economy Minister Bruno Le Maire in the French government, who is Renault’s largest shareholder, told France Info radio that they will not demand Ghosn to be removed from the company because they have no proof. France has examined Ghosn’s local tax records and found “nothing particular,” Le Maire added.
The French government owns a 15 per cent stake in Renault, which in turn owns more than 40 per cent of Nissan. Nissan holds a 15 per cent stake in Renault.