Carlos Ghosn is a very recognizable in the world of business. After all, he was both the CEO and Chairman of Nissan, which made him so famous that his life story has been documented in the form of a Japanese manga. However, that isn't the reason that Ghosn's name has been popping up in business news in recent times. Instead, that would be his arrest because of allegations of false accounting, which are bound to have an impact on the estimates that put his current net worth at around $100 million.
Ghosn's background is a bit complicated. In short, his father was the son of a Maronite Christian who had emigrated from Lebanon to Brazil, while his mother was a woman born in Nigeria whose family had come from Lebanon as well. When Ghosn was still a child, he fell sick because of unsanitary water, which is why his mother moved with him to Rio de Janeiro.
However, he failed to recover in said city, which is why his mother then moved with him to Beirut where his grandmother still lived. As a result, Ghosn completed secondary school in Lebanon but would eventually complete his higher education in France.
How Did Carlos Ghosn Reach His Current Net Worth?
Once he graduated from school, Ghosn went on to become an engineer at Michelin. There, he rose to the position of plant manager, which was followed by a promotion to the head of R&D for industrial tires. Eventually, Ghosn reached the position of COO of Michelin's South American operations, which saw his return to Rio de Janeiro.
There, he was presented with the unenviable task of turning around the operations, which were struggling because of Brazil's hyperinflation as well as a number of other issues. Said experience is what spurred him to come up with a cross-cultural management style, which enabled him to pick out the best practices from each of the nationalities that could be found in Michelin's South American operations. As a result, Ghosn was able to restore said operations to a state of profitability in no more than two years' time.
From that point forward, Ghosn continued to prosper. From Michelin, he moved on to Renault; from Renault, he moved on to Nissan. There, he made huge waves by making sweeping changes to how Nissan was run, which ruffled a lot of feathers.
However, Ghosn's efforts made Nissan profitable again even though it was believed to have been doomed to failure at the time, thus enabling him to win out over his critics. Naturally, this brought him a fair amount of respect as well in recognition of his success.
Now, it seems that Ghosn's business career has come to a close. Not too much information has been released about what happened, but it seems that Ghosn has been under-reporting his compensation, which is a serious violation of the relevant rules and regulations.
Moreover, Ghosn has been charging personal expenses to corporate accounts, with examples ranging from him paying for family vacations by using the corporation to him paying for various residences in various countries by using the corporation.
Unsurprisingly, neither one of these examples are what one would consider to be appropriate behavior for corporate executives, though there are reports that the Japanese authorities would not have caught on if it wasn't for the reporting of a Nissan executive in the legal department.
Regardless, Ghosn has been arrested by the Japanese authorities. Moreover, he has been booted from his position at the head of Nissan, thus making for a truly spectacular fall in both its height and its speed.
Summed up, Ghosn's business career is over for the time being. As a result, he won't be adding to his current net worth through that particular source.
If anything, it seems probable that his current net worth is going to take some serious hits in the time to come, seeing as how the whole series of events suggests that the Japanese authorities are going to take this very seriously instead of just letting him off with a metaphorical slap in the wrist.
Due to this, while $100 million is the estimate for the time being, interested individuals shouldn't expect that to remain true far into the future.
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Written by Garrett Parker
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