Ghosn's legal woes highlight governance failings

TOKYO - One of the biggest mysteries surrounding the arrest of Nissan's former chairman Carlos Ghosn is over how he allegedly could have underreported his income by millions of dollars for years and why the company is going after the suspected wrongdoing now.

Ghosn, who headed the Renault-Nissan-Mitsubishi Motors auto alliance, was arrested on Nov 19 on suspicion he underreported his income by $44 million over five years, or about half of what he was really making. Nissan Motor Co and Mitsubishi have ousted him as chairman.

Prosecutors have released very little information about the case and neither man has been officially charged. In Japan suspects can be held for weeks for questioning without any charges.