Nissan CEO Hiroto Saikawa resigns after confirming he was too much: Reports

Hiroto Saikawa is suspected of incorrectly adding $ 440,000 to the compensation by changing bonus terms.


CEO of crisis-hit Japanese car giant Nissan plans to retire, local media reported Monday, days after admitting he was paid more than his right.

The reports said it was not immediately clear when Hiroto Saikawa would retire, as the company is struggling with the aftermath of the arrest of its former boss Carlos Ghosn on charges of financial abuse.

Nissan said it had no immediate comment on the reports, which first appeared overnight in the Nikkei business daily.

Nikkei said that Saikawa has told several Nissan executives about his intention, but that no date has been set for his resignation or a successor.

The reported decision comes days after Saikawa acknowledged that a Nissan probe revealed that he had received more pay than he was entitled to, in a scheme that directors can receive a bonus if the company's share price rises above a certain level in a specified period.

Saikawa is suspected of having contributed 47 million yen ($ 440,000) in its compensation by changing the terms of a bonus, according to reports.

Nissan has not confirmed the details of the payouts, but Saikawa apologized last week while refusing any wrongdoing.

"I handed the case over to someone else, so I thought it was being dealt with appropriately," he told reporters.

Nissan will hold a board meeting later Monday, where details of the investigation that revealed the overpayments are expected to be shared.

The automaker is currently undergoing an overhaul intended to strengthen governance following the Ghosn scandal.

In June, Nissan shareholders voted for various measures, including the establishment of three new oversight committees responsible for appointing senior officials, payroll and auditing.

They also approved the election of 1[ads1]1 directors as permanent regulators, among them two Renault executives as well as Saikawa.

The reforms are designed to put Nissan on a more stable footing after the arrest of Ghosn, who has been fired from his leadership roles at the Japanese firm and others.

He is awaiting trial on charges of underreporting millions of dollars in wages and for the use of corporate assets for personal expenses.

Ghosn has denied any wrongdoing and accuses Nissan executives of contradicting his plans to further integrate the company with France's Renault to plan against him.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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