‘Nis­san board should have known about Ghosn is­sues’

The Star Malaysia - StarBiz - - Foreign News -

HONG KONG: A lead­ing cor­po­rate gov­er­nance ad­vo­cate said the board of Ja­panese car­maker Nis­san must ac­cept col­lec­tive re­spon­si­bil­ity over al­leged dis­clo­sure fail­ings that led to the oust­ing of chair­man Car­los Ghosn.

The re­marks by Jamie Allen, sec­re­tary-gen­eral of the Asian Cor­po­rate Gov­er­nance As­so­ci­a­tion (ACGA), come as a bi­en­nial sur­vey by the ACGA and CLSA, an Asia-fo­cused bro­ker­age, showed Ja­pan slid­ing three places to sev­enth in a re­gional rank­ing of gov­er­nance stan­dards – the worst de­cline in per­for­mance of any coun­try.

“If the chair­man has been shown to be fraud­u­lently dis­clos­ing in­for­ma­tion, then it’s not just the chair­man that is re­spon­si­ble. The board of Nis­san needs to do some soul-search­ing,” Allen told re­porters.

“The board does have col­lec­tive re­spon­si­bil­ity and if they didn’t know about this re­mu­ner­a­tion then shame on them, they should have done, it speaks very poorly about their in­ter­nal con­trols.”

Nis­san chief ex­ec­u­tive Hiroto Saikawa said af­ter Ghosn’s ar­rest that the com­pany would need to “look back on what hap­pened se­ri­ously and take im­me­di­ate and fun­da­men­tal counter-mea­sures”. — Reuters

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