Lawyer for American charged in trial of ex-Nissan exec Ghosn appeals for 'justice'

He was found guilty for just one of the eight years for which the compensation allegedly was under-reported.

I seem to recall quite a few local politicians who did not report large contributions to the tax authorities at all.

Were they held incommunicado and prosecuted as well?

Just a rhetorical question.

using the English word “justice.”

The only word justice known in Japan is hostage justice system.

https://www.japantimes.co.jp/news/2024/03/19/japan/crime-legal/hostage-justice-renewed-spotlight/

Japan doesn’t have a justice system though.

…while his former boss, Ghosn, is enjoying his perpetual holiday in the sun-drenched Lebanon.

"Kelly’s reputation was tarnished literally on a global level"

Was it though? Anyone who had more than a passing interest would have known that it was the justice system in Japan that really got tarnished and that Kelly was a victim of it.

Can't help but think that if Ghosn hadn't run away breaking bail and faced his charges, Kelly may not have even been found guilty on that one charge. Everyone around Ghosn gets charged but he himself gets away scott free. Reminds me of a particular US presidential candidate we have.

Japan knows that it's legal system is trash. It's just a matter of finding a judge that has the integrity to admit and act accordingly. Don't hold your breath.

I seem to recall quite a few local politicians who did not report large contributions to the tax authorities at all.

Were they held incommunicado and prosecuted as well?

Good point.

The only word justice known in Japan is hostage justice system.

exactly.

Japan doesn’t have a justice system though.

true.

Anyone who had more than a passing interest would have known that it was the justice system in Japan that really got tarnished and that Kelly was a victim of it.

that's right but not tarnished enough for there to be change unfortunately.

Japan knows that it's legal system is trash.

That's right. Many Japanese complain about it as well.

""Kelly, a lawyer, says he was merely trying to retain Ghosn for Nissan’s best interests, using legal means, and the issues could have been sorted out in a board room, not a courtroom.""

But then Both Nissan and Mr. Ghosn turned their backs on you sir.

There was a lot fo blame to go around on the Ghosn debacle. If Kelly is asking for the case to be re-opened and re-litigated. I think he should not hold his breath. There is a tendency here to tighten the lid and move on when huge mistakes are made in the legal system.

Not sure his reputation is damaged. I think people look at what has happened to him, feel sorry for him, and cross Japan off the list of countries they would ever consider taking an executive position in.

Politically ordered law enforcement and judicial rulings and the convictions brought about by lengthy stays of detention are a blight on Japanese society.

Why is it that no Japanese politicians are calling for reform of this unfair, fear inducing, archaic system?

There was no case. Japanese old school party just don’t want a foreign entity controlling Nissan hence they colluded and abused Tokyo Prosecutors power.

The Japanese lured Ghosn to Japan under false pretenses to pursue a political prosecution in violation of international law. Kelly was the other gaijin patsy, Nissan was another industrial albatross here, being saved only by alliance with foreign automakers. Being handed another L was too much for the stinky old farts in charge here.

The Japanese prosecutors are just sore that they lost Ghosn and are taking it out on whoever they can. Pathetic.

If you help criminals, well, you're a criminal.

Also, if you eliminate rival criminals, you're a criminal.

There was no case. Japanese old school party just don’t want a foreign entity controlling Nissan hence they colluded and abused Tokyo Prosecutors power.

Any proof to back up the claim???

I seem to recall quite a few local politicians who did not report large contributions to the tax authorities at all.

Were they held incommunicado and prosecuted as well?

Name one.

Good point.

Japan doesn’t have a justice system though.

But Japan is one of the safest country and you are living here in Japan

so true.

We have coaxed one nationalist out of the woodwork. They usually keep quiet and just downvote, having no real argument to make.

“The news traveled around the world, and Kelly’s reputation was tarnished literally on a global level,” defense lawyer Yoichi Kitamura told the Tokyo High Court.

In USA you get away if you pay your way out, a bit different is the situation however here in Japan.

https://www.sec.gov/enforcement-litigation/litigation-releases/lr-24606

Carlos Ghosn and Gregory L. Kelly

SEC Charges Nissan, Former CEO, and Former Director with Fraudulently Concealing from Investors More Than $140 Million of Compensation and Retirement Benefits

Litigation Release No. 24606 / September 23, 2019

Washington D.C., Sept. 23, 2019 - The SEC today filed settled fraud charges against Nissan, its former CEO Carlos Ghosn, and its former director Greg Kelly related to false financial disclosures that omitted more than $140 million to be paid to Ghosn in retirement.

To settle the charges, Ghosn and Kelly agreed to be permanently enjoined from violating or aiding and abetting violations of the anti-fraud provisions. Ghosn also agreed to a $1 million civil penalty and a 10-year officer and director bar. Kelly agreed to a $100,000 penalty, a five-year officer and director bar and a five-year suspension from practicing or appearing before the Commission as an attorney. Nissan, Ghosn, and Kelly settled without admitting or denying the SEC's allegations and findings.

The SEC would like to thank the Tokyo District Public Prosecutors Office for its assistance in connection with this investigation.

MeiyouwentiToday 07:38 am JST

…while his former boss, Ghosn, is enjoying his perpetual holiday in the sun-drenched Lebanon.

Ghosn is holding Lebanon citizenship, while Kelly is an US-citizen, this makes a big difference.

However Ghosn is facing also serious legal problems in France.

https://japannews.yomiuri.co.jp/news-services/afp-jiji/20230706-120753/

Former Nissan Chief Carlos Ghosn Faces 2nd French Warrant

AFP-Jiji

9:00 JST, July 6, 2023

PARIS (AFP-Jiji) — French investigators issued a second international arrest warrant against former Renault-Nissan chief Carlos Ghosn in April, a source close to the case told AFP Tuesday.

The warrant was issued by a Paris investigating magistrate when Ghosn did not appear to be charged last year on counts including corruption.

Ghosn currently lives in Lebanon, where he fled after a dramatic 2019 escape from Japanese custody accomplished in part by hiding in an audio-equipment box.

Ghosn may yet face a criminal trial on those charges, which relate to €900,000 ($980,000) sent to Paris politician and former minister Rachida Dati by Renault-Nissan’s Dutch subsidiary.

The cash was supposedly to pay for Dati’s work as a lawyer in 2010-12, a time when she was also serving as a European Parliament lawmaker.

She has been under investigation since July 2021 for corruption and influence peddling while serving as an elected official.

She has been under investigation since July 2021 for corruption and influence peddling while serving as an elected official.

In his final arguments, Kitamura denounced the lower court verdict as “unreasonable,” saying it didn’t make sense for Kelly to be part of a conspiracy for just the last year.

This argument is implausible on its face. Kelly was proven to be part of a conspiracy for the last year. For the other seven, the evidence wasn't sufficiently clear so the court gave priority to his presumed innocence, but that's not the same as he definitely wasn't part of a conspiracy.

The verdict was non-sensical and a reflection that the prosecution had done a sloppy job, assuming the accused would admit guilt while in detention. Ghosn and Kelly were on the take and everyone at Nissan knew it. The fact that the prosecutors were not able to prove it is more a reflection on their competence than on the brilliance of Kelly's schemes.

If Kelly is found innocent of the crime, it means there was no crime, and Ghosn is also innocent.

Remember, Kelly is accused of collaborating with Ghosn.

It's the same crime.

If you acquit one, you must acquit both.

Presiding Judge Kazunori Karei promised a verdict on Feb 4.

In which year and decade?

If Kelly is found innocent of the crime, it means there was no crime, and Ghosn is also innocent.

No. Ghosn was mad he had to take a pay cut (under Japanese gov't pressure) when there was an economic downturn. So Ghosn set up an elaborate kick back scheme from franchise owners in other countries to make up for the pay cut he was pressured to take.

Kelly was head of HR. Unless they have proof Kelly was involved in the scheme, it's abuse of the justice system. We've had a ton of press on this, and a docu series on Apple TV. I've yet to see any reporting saying Kelly knew about Ghosn's scheme.

In addition, the only reason they got Ghosn was Nissan investigators went to Ghosn's personal lawyers office (who had unexpectedly died) and got the paralegal to hand over a bunch of documents. That would get tossed in Western legal systems.

One of the biggest injustices here is how Kelly was lured back to Japan.

I'm sure behind closed doors, US State Dept. has told Japan don't ever pull that again with one of our nationals.

MotMotMot: Thank you for that additional information...excellent contribution, succinct and on-point!

After all the dust has settled, it is pretty clear there was some malfeasance here with all people involved. As for Kelly, the only thing he stood to get out of it, from what I can think of, is the value CG had for Nissan stock, which Kelly must have owned.

While being guilty 1 year out of 8 makes no sense from a technically legal point of view, in the Japanese way of doing things, it's like points of blame in a traffic accident. Kelly was involved, so he should take some blame somehow. The problem is all the Japanese execs who were involved and got away with nothing.

theloniusSep. 21  05:34 am JST

One of the biggest injustices here is how Kelly was lured back to Japan.

I'm sure behind closed doors, US State Dept. has told Japan don't ever pull that again with one of our nationals.

Doubt that very much.

The SEC would like to thank the Tokyo District Public Prosecutors Office for its assistance in connection with this investigation.