It has been revealed that fresh charges against Carlos Ghosn, the ousted chairman of Nissan, claim that he used funds of the company in order to pay a businessman from Saudi Arabia for a personal favour.
Ghosn was arrested for a third time last week. sources told Reuters that he is alleged to have paid approximately $14.7 million (£11.6m) in four instalments to Khaled Al-Juffali, the vice chairman of the EA Juffali and Brothers conglomerate, one of biggest in Saudi Arabia.
The prosecutors did not identify the person that they say received the money that came from the funds of Nissan between the period of 2009 and 2012.
The said payments were allegedly made after the person helped Ghosn transfer the losses from his personal investments to the car manufacturer.
In a statement, the prosecutors said: “By doing so, [Ghosn] behaved in a way that breached trust, and inflicted damage on the property of Nissan.”
Al-Juffali did not release a comment regarding the matter. Ghosn has since denied the allegations to other media outlets.
The prosecutors stated: “We cannot comment on matters related to Ghosn’s arrest for breach of trust. Nissan’s own investigation is ongoing, and its scope continues to broaden.”
The most recent arrest is the first that the prosecutors have levelled at Ghosn alone. The previous charges of under-reporting his compensation were also levelled Greg Kelly, the former representative director. Both Ghosn and Kelly have claimed innocence.
Last week, Ghosn hoped that he might be released on bail after a judge ruled that the prosecutors could no longer hold him on the old charges. However, his hopes were destroyed last Friday when he was re-arrested.
Nissan is running its own inquiry into the activity of Ghosn and Kelly. It has said that it has discovered various instances of possible wrongdoing against the firm.