- Carlos Ghosn faces three charges of financial misconduct and has been detained since November
- The Tokyo court decision was widely expected
TOKYO: A Tokyo court on Tuesday rejected a request by former Nissan chief Carlos Ghosn for bail following fresh charges, dashing his hopes for an early release from his Japanese jail cell.
The decision means the 64-year-old auto tycoon is likely to stay in custody until his trial, which even his own defense lawyer has admitted could take six months to begin.
The Tokyo District Court said in a statement that 鈥渁 request filed by lawyers for his bail release was rejected today.鈥�
On Friday, prosecutors pressed formal charges against Ghosn over two more allegations of financial misconduct 鈥� all of which the Franco-Brazilian-Lebanese businessman denies.
In a dramatic courtroom appearance on Tuesday, Ghosn denounced the allegations against him, saying he had been 鈥渨rongly accused and unfairly detained.鈥�
He has been indicted on two counts of allegedly under-declaring his income by more than nine billion yen ($83 million) in total over eight fiscal years in documents to shareholders.
Ghosn also stands charged with 鈥渁ggravated breach of trust鈥� over a complex alleged scheme in which he is said to have tried to transfer foreign exchange losses to Nissan鈥檚 books.
His ongoing detention has prompted some international criticism of Japan鈥檚 legal system, which permits prosecutors to hold suspects while they investigate an allegation, and also allows lengthy pre-trial detention once charges have been filed.
Carole Ghosn, his wife, has alleged her husband is being held in 鈥渉arsh鈥� conditions and subjected to round-the-clock interrogations intended to extract a confession.
In a letter to Human Rights Watch, she sought to 鈥減ress the government to reform its draconian system of pretrial detention and interrogation.鈥�
But deputy chief prosecutor Shin Kukimoto has defended Japan鈥檚 investigative procedures, saying he had anticipated overseas criticism.
鈥淲e expected various reactions since it is a criminal investigation into a globally famous person,鈥� he said.
鈥淲e are acting appropriately in accordance with the existing laws.鈥�
However, some local media have expressed understanding of the criticism from overseas. The Asahi Shimbun daily said in an editorial that the country 鈥渘eeds a debate toward improvement鈥� of its controversial legal system.
Ghosn鈥檚 lawyer has acknowledged his client is unlikely to be freed before a trial, and that the case could take six months to come to court given its complexity and the need to translate documents into Japanese and English.
The former Nissan chief has so far been denied visits from anyone except his lawyers and diplomats from the three countries where he holds citizenship 鈥� Brazil, France and Lebanon.
But a court ruling last week means Ghosn鈥檚 family can now visit him..
Ghosn has appeared in public just once since his shock November 19 arrest, during last week鈥檚 court hearing which was called after his lawyers requested judges explain the tycoon鈥檚 ongoing detention.
One of the most recognizable foreign executives in Japan, Ghosn was led into Tokyo District Court in handcuffs and with a rope around his waist, and was noticeably thinner.
His arrest has exposed rifts in the alliance he forged and led between Nissan, Mitsubishi Motors and France鈥檚 Renault.
While the two Japanese firms quickly ousted him from leadership roles, Renault has kept him on and its board said Thursday that an ongoing audit has found no sign of fraud in the last two years.
On Friday, Renault decried a 鈥渃ampaign of destabilization鈥� embroiling its alliance with Nissan, as new allegations surfaced over pay arrangements overseen by Ghosn.
Jose Munoz, a top executive widely seen as a close ally to Ghosn, has resigned as the company broadens an internal probe over Ghosn鈥檚 case.
Following the latest charges, Nissan announced it had filed its own criminal complaint against its former chief, saying it can鈥檛 鈥渢olerate such misconduct and calls for strict penalties.鈥�
Some have suggested Ghosn鈥檚 arrest is a form of boardroom 鈥渃oup鈥� by Nissan against Renault 鈥� a junior partner in the alliance but the best performing.
But CEO Hiroto Saikawa dismissed this as 鈥渁bsurd鈥� in an interview with French business daily Les Echos.
鈥淟ook at the evidence. It鈥檚 serious,鈥� Saikawa was quoted as saying.