There are episodes of Succession that are less intense than the corporate drama currently unfolding at the highest ranks of Japan’s third-biggest automaker, Nissan. The company’s CEO is accused of spying on the second-in-command, in order to gain leverage over the Chief Operation Officer, who was seen to be slowing negotiations with Renault.
An investigation conducted by a third-party American law firm has determined that Nissan installed cameras at the home of Ashwani Gupta, its former COO, so that the company’s security team could keep tabs on him, employees say.
The probe was set up to investigate claims that its CEO, Makoto Uchida, was surveilling his second-in-command in order to win leverage over him, and kick him out of the company, reports Reuters. The investigation was a response to a claim made by a senior advisor, Hari Nada, who also said that Gupta was asked to resign as a result of his personal conduct. People with knowledge of the matter said the request was related to an allegation of harassment that a female employee made against the COO.
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Although the investigation did not have a conclusion on the validity of the claims against Gupta, it did say that Nissan used its authority in an arbitrary way. It also found that two sets of security cameras were set up around the entrance to his home. One was set up by a private security firm, the other by Nissan’s internal security, in order to monitor the COO.
What may be surprising to North American readers, is that the company was likely within its rights to surveil Gupta. A second law firm, hired to determine whether Uchida’s probe was lawful, found no evidence of illegal activity on Nissan’s behalf.
Gupta, who was once viewed as a likely successor to the CEO, has now left his role as Nissan’s chief operations officer. The company announced this week that his role will not be filled by another executive, and will instead be completed by a number of employees, in order to “introduce a flatter and agile leadership structure.”
All of which seems to benefit Nissan’s CEO, who was reportedly upset with Gupta for his opposition to a deal with partner Renault. The Japanese automaker was supposed to buy 15 percent of an electric vehicle unit that is being spun off from the French automaker.
Senior Renault executives also reportedly saw Gupta as a hindrance to the deal and, according to Nissan insiders. Now, it seems they will be able to finalize the terms of the deal without opposition.
