Nissan CEO Hiroto Saikawa to resign days after admitting he was paid more than entitlement

Nissan CEO Hiroto Saikawa is reportedly set to resign from the post, days after admitting he received more pay than his entitlement. According to reports in local media, Saikawa will step down from the posts as soon as the company's finds a suitable successor. The development comes at a time when the firm is struggling with the aftermath of the arrest of its former chief Carlos Ghosn on charges of financial misconduct. The local business daily Nikkei claimed that Saikawa has told several Nissan executives of his intent, but that no date for his resignation nor a successor has been decided.

The reported decision comes days after Saikawa acknowledged that a Nissan probe revealed he had received more pay than he was entitled to, in a scheme under which directors can receive a bonus if their company's share price rises above a certain level in a set period.

Meanwhile, Nissan's nominating committee is likely to discuss potential successors for Hiroto during a meeting on Monday. The company has been struggling since Ghosn`s dramatic arrest and subsequent ouster last year. It faced a major setback when Saikawa admitted to being improperly overpaid and in violation of internal procedures. That admission followed an internal investigation.

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"The nominating committee will also meet today and discuss the selection of successor and the timing of the resignation," a source told Reuters. "Saikawa isn't at all clinging to his president's chair."

Pressure has mounted on Saikawa given the company`s poor performance and strained ties with Renault. Profit has tumbled to an 11-year low and prompted hefty job cuts. Reuters also quoted a source saying that a nominations committee established in June to find a successor to Saikawa had drawn up a shortlist containing more than 10 possible candidates.

The list included names like Jun Seki, who is overseeing the company`s performance recovery, Chief Competitive Officer Yasuhiro Yamauchi, and Makoto Uchida, chairman of Nissan`s management committee in China, one of its largest markets.