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Investigators say Mitsubishi mpg scandal was 'collective failure'

Investigators hired by Mitsubishi Motors to probe why the Japanese automaker engaged in falsifying fuel-economy figures for the past quarter-century faulted the company's "corporate culture." Specifically, there was a lack of unity between divisions, company-wide pressure to boost fuel-efficiency numbers, and an unwillingness to accept fuel-economy shortfalls, Automotive News says, citing comments made by consultants who hired by the company to investigate the problems. Challenging management authority even if it was proper to do so was also frowned upon. One of the investigators called the scandal "a collective failure." Among other suggestions, the consultants recommended that Mitsubishi's vehicle-mileage certification be independent from research and development, that there's greater transparency overall, and that there's a more thorough understanding of laws. New shareholder Nissan may also invest in retooling Mitsubishi's R&D operations, and is sending one of its former executives, Mitsuhiko Yamashita, to Mitsubishi to try to prevent any sort of repeat problems. Mitsubishi joined a list of automakers including Volkswagen, Hyundai/Kia, and Ford that have been found in recent years to either mislead with its published fuel-efficiency figures or emissions-testing procedures. A Nissan spokesman declined to comment on the Mitsubishi report, according to Automotive News. The recommendation comes less than three months after the announcement that Nissan would help rescue Mitsubishi from its fuel-economy scandal by acquiring part of the company. Nissan agreed in May to pay $2.2 billion for a 34-percent stake in Mitsubishi, and said at the time that Mitsubishi would join the Renault-Nissan Alliance. Nissan also owns 15 percent of France-based Renault. That announcement came right after Mitsubishi's admission that it may have falsified fuel-economy data for every one of its vehicles made in Japan dating back to 1991. Related Video: News Source: Automotive NewsImage Credit: Tomohiro Ohsumi/Getty Images Green Mitsubishi Nissan Fuel Efficiency scandal diesel scandal

Feds say Americans' bid to avoid extradition in Ghosn escape is 'flawed'

BOSTON — U.S. prosecutors on Tuesday said a former Green Beret and his son, wanted by Japan for helping former Nissan boss Carlos Ghosn flee the country, were advancing a "flawed" interpretation of Japanese law to fight their extradition. Michael Taylor and his son, Peter Taylor, were arrested in Massachusetts last month at Japan's request for allegedly smuggling Ghosn out of the country on Dec. 29, 2019, in a box while he was out on bail awaiting trial on financial charges. Ghosn fled to Lebanon, his childhood home, after being charged with engaging in financial wrongdoing, including by understating his compensation in Nissan's financial statements. He denies wrongdoing. Lawyers for the Taylors in a motion last week asked a federal judge in Boston to quash the provisional warrants issued in May for their arrests, arguing that "bail jumping" is not a crime in Japan. Defense lawyers argued that helping someone jump bail was also not a crime. While Japan issued arrest warrants for the Taylors in January, the lawyers said the crime stated in the warrants is an immigration offense and a non-extraditable misdemeanor. But U.S. prosecutors in a brief filed on Tuesday said it would be "unprecedented" for the extradition case at this junction to be tossed based on a "flawed interpretation of Japanese law and a mischaracterization of the facts." While Japan has not yet formally sought their extradition, the country has confirmed that Taylors' conduct constitutes a felony, U.S. prosecutors said. "The purported loophole through which the Taylors seek to evade justice simply does not exist," U.S. prosecutors wrote. Prosecutors added that neither Taylor, including Michael, a U.S. Army Special Forces veteran and private security specialist, should be released from jail as they are flight risks. Abbe Lowell, the Taylors' lawyer, said he was reviewing the filing. Related Video: Government/Legal Mitsubishi Nissan Renault Carlos Ghosn

Lebanon gets Interpol fugitive notice for Carlos Ghosn as escape details emerge

BEIRUT — Lebanon's justice minister said Thursday that Lebanon has received an international wanted notice from Interpol for NissanÂ’s ex-chair Carlos Ghosn, four days after he fled Japan to Lebanon before a trial on financial misconduct charges. Albert Serhan told The Associated Press in an interview that the Red Notice for the former automotive titan was received earlier Thursday by the prosecution. Ghosn skipped bail before his much-anticipated trial, which was to start in April. He arrived in Lebanon, where he was raised after moving from Brazil as a young boy, on Monday via Turkey and hasn't been seen in public since. Authorities have said that he entered legally on a French passport. A plane carrying Ghosn arrived at 5:30 a.m. (0230 GMT) Monday at IstanbulÂ’s Ataturk Airport, Hurriyet reported, adding that prosecutors ordered the arrests after widening their investigation. Flight tracking data from that time suggests that Ghosn used two different planes to fly into Istanbul and then on to Lebanon. Japanese authorities allowed Ghosn to carry a spare French passport in a locked case while out on bail, public broadcaster NHK said on Thursday, shedding some light on how he managed his escape to Lebanon. While some Lebanese media have floated a Houdini-like account of Ghosn being packed in a wooden container for musical instruments after a private concert in his home, his wife called the account “fiction” when contacted by Reuters. She declined to provide details of the exit of one of the most recognized titans of industry. The accounts of the two sources suggest a carefully planned escape known only to a few. They said a private security firm oversaw the plan, which involved shuttling Ghosn out via a private jet to Istanbul before pushing onward to Beirut, with even the pilot unaware of GhosnÂ’s presence on board. InterpolÂ’s so-called Red Notices are requests to law enforcement agencies worldwide that they locate and provisionally arrest a wanted fugitive. Serhan, the minister, said the Lebanese prosecution “will carry out its duties,” suggesting for the first time that Ghosn may be brought in for questioning. But he said that Lebanon and Japan do not have an extradition treaty, ruling out the possibility that Beirut would hand Ghosn over to Japan One sources who spoke with Reuters said Ghosn was greeted warmly by President Michel Aoun on Monday after flying into Beirut via Istanbul and was now in a buoyant and combative mood and felt secure.