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Nissan files civil suit against Ghosn, seeking $91 million in damages

TOKYO — Nissan filed a civil suit Wednesday seeking 10 billion yen ($91 million) in damages from the Japanese automaker's former Chairman Carlos Ghosn. Nissan filed the case in Yokohama District Court to recoup some of the monetary damages suffered, it said, “as a result of years of misconduct and fraudulent activity" by Ghosn. The claim was calculated by adding the costs from what Nissan called Ghosn's “corrupt practices,” such as rent for overseas property, use of corporate jets and payments to Ghosn's sister, as well as costs for the internal investigation into Ghosn's alleged wrongdoings. Representatives of Ghosn said in a statement they couldn't comment as they had yet to see the legal documents. “Nissan's maneuvers continue,” they said, while noting Nissan had claimed larger damages before. Ghosn, who led Nissan for two decades and saved it from near-bankruptcy, was arrested in Japan in November 2018, and charged with underreporting his future compensation and breach of trust in diverting Nissan money for personal gain. He was awaiting trial but skipped bail and showed up in Lebanon late last year. Japan has no extradition treaty with Lebanon, and he's unlikely to be arrested. A date had not been set for his trial, and Ghosn has said he was worried his ordeal would never end and he would not get a fair hearing. The bail conditions also barred him from seeing his wife. He has repeatedly lashed out at Japan's judicial system, where the conviction rate is higher than 99%. Japanese authorities recently issued an arrest warrant for Ghosn and three Americans, accused of helping his escape. Separately, they issued an arrest warrant for Ghosn's wife on suspicion of perjury. Ghosn has repeatedly said he is innocent, saying that the promised compensation had never been decided, and all the payments were for legitimate services. Wednesday's lawsuit by Nissan comes on top of the civil case Nissan filed against Ghosn in the British Virgin Islands in August last year. It alleged unauthorized payments, sought to regain a luxury yacht and pursued other damages, according to Nissan. Yokohama-based Nissan, which makes the Z sportscar, Leaf electric car and Infiniti luxury models, is also facing trial in Japan as a company in relation to Ghosn's scandal. It has indicated it will agree to any penalties. Nissan's reputation has been sorely tarnished over the Ghosn fiasco, and its sales have dropped. Nissan reports financial results Thursday.

Nissan CEO Hiroto Saikawa resigns, successor to be named

YOKOHAMA, Japan — Nissan Chief Executive Hiroto Saikawa tendered his resignation Monday after acknowledging that he had received dubious income and vowed to pass the leadership of the Japanese automaker to a new generation. Board member Yasushi Kimura told reporters at an evening news conference at company headquarters in Yokohama that the board has approved Saikawa's resignation, effective Sept. 16, and a successor will be appointed next month. A search is underway, he added. Calls for Saikawa's resignation, which arose after the arrest last year of his predecessor, Carlos Ghosn, on various financial misconduct allegations, have grown louder after Saikawa acknowledged last week that he had received dubious payments. The income was linked to the stock price of Nissan Motor Co., and he has said his pay got inflated by illicitly adjusting the date for cashing in. The automaker's board met to look into the allegations against Saikawa, as well as other issues related to Ghosn's allegations and corporate ethics at the company. Kimura said the income Saikawa had received was confirmed as "not illegal." Ghosn, who is out on bail and awaiting trial, says he's innocent. Kimura and three other board members, who all have backgrounds outside the company, said their investigation of the scandal over Ghosn's arrest found that alleged misconduct by Ghosn and Greg Kelly, a former board member who was also arrested, had caused 35 billion yen ($350 million) in damage to the company. Nissan will seek a repayment of the damages, Kimura said. The board said about 10 candidates are being considered as a replacement for Saikawa. They did not identify them, but said outsiders and non-Japanese are on the list. Until a successor is decided, Chief Operating Officer Yasuhiro Yamauchi will serve as interim chief, the board said. Saikawa has not been charged. "I have been trying to do what needs to be done so that I can pass the baton over as soon as possible," he told reporters earlier in the day, referring to his willingness to leave his job. Saikawa did not appear at the news conference initially, but the four board members who led the event said he would later. Saikawa has said he didn't know about the improprieties, promised to return the money and blamed the system he said Ghosn had created at Nissan for the dubious payments. Japanese media reports said Saikawa had received tens of millions of yen (hundreds of thousands of dollars) in extra compensation.

2019 Infiniti QX50 First Drive Review | A high-tech engine flies under the radar

Update: An Infiniti representative reached out after this review was published and noted that the "Park with Easy Steering" function of the Direct Adaptive Steering system was erroneously left engaged. Infiniti says this feature "reduces feel considerably at low speeds to aid in parking", and that the Easy Steering function will be disabled by default in customer cars unless the customer chooses to engage it. This seems to explain the issues our reviewer had with low-speed steering feel, although we've had other problematic experiences with Direct Adaptive Steering in a broader sense – not to mention the fact that the drive-by-wire system has been recalled several times to fix various issues, and also recalibrated in response to criticism. We hope to get another QX50 soon, and if so we'll compare the low-speed steering response with Easy Steering on and off. Even as manufacturers rush headlong into electrification and autonomous driving, revolutionary internal-combustion engine technologies are still being developed. Consider the Mazda Skyactiv-X Spark Controlled Combustion Ignition process, for example. But Infiniti's VC-Turbo four-cylinder engine, which makes its debut in the 2019 QX50, is truly a work of engineering fortitude. The engine realizes the long-held ambition among engine manufacturers to create a way to alter the compression ratio on the fly, a boon to both power and fuel efficiency. It's a brilliant bit of science that's, unfortunately, still in search of the right car. Don't get us wrong, the QX50 is perfectly competent — it's an exceedingly quiet and comfortable cruiser. However, it's no longer the driver-pleasing machine its predecessor was. That car, originally known as the EX35, was built atop Nissan's sporty FM platform, a front-midship, rear-wheel-drive layout putting the engine aft of the front axle line and giving the vehicle the athletic driving dynamics of a sport sedan. In fact, it was basically a G37 hatchback, and it was sold as the Skyline Crossover in Japan. A shortened FM chassis underpinned the 370Z, to put a finer point on it. For those more concerned with comfort than corners, the 2019 QX50 might actually be a more useful. It rides atop an all-new front-wheel-drive chassis, which means it's able to add more space for both passengers and cargo. It trades a heap of the old QX50's sportiness for comfort and packaging efficiency. If that sounds good to you, perhaps the new QX50 is the right crossover.