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Japan defends its justice system against Ghosn's defiance – CTV News

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BEIRUT —
Nissan’s fugitive ex-boss Carlos Ghosn vowed to defend his name wherever he can get a fair trial at his first public appearance since being smuggled out of Japan last week, saying Wednesday he had fled a “nightmare” that would not end.

Ghosn spoke to a room packed with journalists for more than two hours in the Lebanese capital, where he arrived after jumping $14 million bail despite supposedly rigorous surveillance — a bold and improbable escape that embarrassed Japanese authorities and has allowed him to evade trial on charges of financial misconduct.

Combative, spirited, and at times rambling, he described conditions of detention in Japan that made him feel “dead … like an animal” in a country where he asserted he had “zero chance” of a fair trial.

“For the first time since this nightmare began, I can defend myself, speak freely and answer your questions,” Ghosn said. “I didn’t run from justice, I left Japan because I wanted justice.”

Japan’s justice minister was quick to defend the criminal justice system against his criticism. Masako Mori told reporters Thursday morning in Tokyo that Ghosn’s comments were unfounded and she wanted to prevent his spreading an “erroneous” understanding abroad.

With big gestures and a five-part slide presentation, Ghosn brought his case to the global media in a performance that at times resembled a corporate presentation. His one thought before fleeing, he said: “You are going to die in Japan or you are going to get out.”

But he made clear the question most on everyone’s minds would remain unanswered: An account of the daring escape that saw him spirited from Japan to Turkey and from there to Beirut.

Media reports have said that he slipped out of his Tokyo residence alone, despite being under surveillance. He met two men at a hotel, and then took a bullet train to Osaka before boarding a private jet hidden inside a musical equipment case. He flew to Istanbul and was then transferred onto another plane bound for Beirut, where he arrived Dec. 30.

Ghosn said he knew the escape attempt would be “disastrous” if it didn’t work. But “there was a little chance I succeed. I played it, and I’m very happy for making that choice,” he told French TF1 TV.

He described the decision to escape as “the most difficult in his life,” even though he said he was used to “mission impossible.”

He said he made up his mind when –aside from denying him evidence, visits from his wife and holding him in solitary confinement for over 130 days– the judges kept postponing his trial. His lawyers had hoped it would begin in April, but he was told it would be postponed again.

Ghosn portrayed his arrest in late 2018 as a plot linked to a decline in the financial performance of Nissan Motor Co. as the Japanese automaker resisted losing autonomy to French partner Renault. Ghosn had been in favour of an alliance between Nissan and industry ally Renault, of which he was also chairman. He denied Wednesday he was seeking a full merger.

Ghosn also attacked Japanese prosecutors, saying they were “aided and abated by petty, vindictive and lawless individuals” in the government, Nissan and its law firm. He said it was them, not him, “who are destroying Japan’s reputation on the global stage.”

He went on to dismiss all allegations of financial wrongdoing against him as “untrue and baseless.”

“I should never have been arrested in the first place,” he said. “I’m not above the law and I welcome the opportunity for the truth to come out and have my name cleared.”

In a swift reply, the Tokyo public prosecutor’s office said: “Defendant Ghosn’s allegations that the prosecution was conspired by Nissan and Public Prosecutors Office is categorically false and completely contrary to fact.”

Ghosn, who holds Lebanese, French and Brazilian citizenship, said he would be ready to stand trial “anywhere where I think I can have a fair trial.” He declined to say where that might be.

He thanked the Lebanese authorities for their hospitality and defended its judicial system, which has long faced accusations of corruption and favouritism.

The French government initially appeared to stand by Ghosn — as did Renault when it kept him on before finally choosing a replacement in January 2019. But in recent days French officials have hardened their stance, calling Ghosn a “defendant like any other” and saying he should face justice in a court of law.

Ghosn said he didn’t need anything from France, but when asked if he felt abandoned by it, he responded: “How would you feel if you were in my place?”

There was no reaction from the French government or Renault to Ghosn’s remarks.

However, union members at Renault, which has seen its market value tumble over the past year, said Ghosn “did not produce any factual, verifiable evidence for his defence.”

Fielding reporters’ questions as he switched from English to French to Arabic to Portuguese, Ghosn appeared at times bitter and at others relaxed as he joked with the roomful of journalists and some friends.

Lebanon last week received an Interpol-issued wanted notice — a non-binding request to law enforcement agencies worldwide that they locate and provisionally arrest a fugitive.

Lebanon and Japan do not have an extradition treaty, and the Interpol notice does not require Lebanon to arrest him. Lebanese authorities have said Ghosn entered the country on a legal passport, casting doubt on the possibility they would hand him over to Japan.

At the request of the Japanese government, Interpol published the notice on its website Wednesday as Ghosn was giving his news conference.

Signalling that Ghosn’s legal troubles may not be done, Lebanon’s chief prosecutor summoned the ex-auto executive to his office Thursday over the Interpol notice. Separately, he faces possible legal action over a visit to Israel in 2008 after two Lebanese lawyers submitted a report to the Public Prosecutor’s Office saying the trip violated Lebanese law. The two neighbouring countries are technically in a state of war.

At Wednesday’s news conference, Ghosn apologized to the Lebanese, saying he never wished to offend anyone when he travelled to Israel as a French national after Nissan asked him to announce the launch of electric cars there.

On Tuesday, Tokyo prosecutors obtained an arrest warrant for Ghosn’s Lebanese wife Carole on suspicion of perjury, a charge unrelated to his escape. However, Japanese justice officials acknowledge that it’s unclear whether the Ghosns can be brought back to Japan to face charges.

Nissan has said it was still pursuing legal action against Ghosn despite his escape. And in France, Renault alerted French authorities after an investigation found that Ghosn personally benefited from “an exchange worth 50,000 euros” related to a philanthropic accord signed with the Palace of Versailles. Prosecutors are investigating but Ghosn is not charged with any wrongdoing in France.

Earlier in the day, Tokyo prosecutors raided a Japanese lawyer’s office Ghosn had visited regularly before he fled. Japanese media reports said prosecutors investigating his escape and who might have helped him had likely seized a computer Ghosn was allowed to use there.

Of the trajectory that brought him from house arrest in Tokyo to a reunion with his family in Beirut, the fallen auto industry executive told reporters Wednesday: “The nightmare started with when I saw the face of the prosecutor and ended with the face of my wife.”

——

Associated Press writers Yuri Kageyama in Tokyo and Angela Charlton and Elaine Ganley in Paris contributed to this report.

Correction:

This story CORRECTS that Ghosn’s trial date in Japan had not been set

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Dollarama keeping an eye on competitors as Loblaw launches new ultra-discount chain

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Dollarama Inc.’s food aisles may have expanded far beyond sweet treats or piles of gum by the checkout counter in recent years, but its chief executive maintains his company is “not in the grocery business,” even if it’s keeping an eye on the sector.

“It’s just one small part of our store,” Neil Rossy told analysts on a Wednesday call, where he was questioned about the company’s food merchandise and rivals playing in the same space.

“We will keep an eye on all retailers — like all retailers keep an eye on us — to make sure that we’re competitive and we understand what’s out there.”

Over the last decade and as consumers have more recently sought deals, Dollarama’s food merchandise has expanded to include bread and pantry staples like cereal, rice and pasta sold at prices on par or below supermarkets.

However, the competition in the discount segment of the market Dollarama operates in intensified recently when the country’s biggest grocery chain began piloting a new ultra-discount store.

The No Name stores being tested by Loblaw Cos. Ltd. in Windsor, St. Catharines and Brockville, Ont., are billed as 20 per cent cheaper than discount retail competitors including No Frills. The grocery giant is able to offer such cost savings by relying on a smaller store footprint, fewer chilled products and a hearty range of No Name merchandise.

Though Rossy brushed off notions that his company is a supermarket challenger, grocers aren’t off his radar.

“All retailers in Canada are realistic about the fact that everyone is everyone’s competition on any given item or category,” he said.

Rossy declined to reveal how much of the chain’s sales would overlap with Loblaw or the food category, arguing the vast variety of items Dollarama sells is its strength rather than its grocery products alone.

“What makes Dollarama Dollarama is a very wide assortment of different departments that somewhat represent the old five-and-dime local convenience store,” he said.

The breadth of Dollarama’s offerings helped carry the company to a second-quarter profit of $285.9 million, up from $245.8 million in the same quarter last year as its sales rose 7.4 per cent.

The retailer said Wednesday the profit amounted to $1.02 per diluted share for the 13-week period ended July 28, up from 86 cents per diluted share a year earlier.

The period the quarter covers includes the start of summer, when Rossy said the weather was “terrible.”

“The weather got slightly better towards the end of the summer and our sales certainly increased, but not enough to make up for the season’s horrible start,” he said.

Sales totalled $1.56 billion for the quarter, up from $1.46 billion in the same quarter last year.

Comparable store sales, a key metric for retailers, increased 4.7 per cent, while the average transaction was down2.2 per cent and traffic was up seven per cent, RBC analyst Irene Nattel pointed out.

She told investors in a note that the numbers reflect “solid demand as cautious consumers focus on core consumables and everyday essentials.”

Analysts have attributed such behaviour to interest rates that have been slow to drop and high prices of key consumer goods, which are weighing on household budgets.

To cope, many Canadians have spent more time seeking deals, trading down to more affordable brands and forgoing small luxuries they would treat themselves to in better economic times.

“When people feel squeezed, they tend to shy away from discretionary, focus on the basics,” Rossy said. “When people are feeling good about their wallet, they tend to be more lax about the basics and more willing to spend on discretionary.”

The current economic situation has drawn in not just the average Canadian looking to save a buck or two, but also wealthier consumers.

“When the entire economy is feeling slightly squeezed, we get more consumers who might not have to or want to shop at a Dollarama generally or who enjoy shopping at a Dollarama but have the luxury of not having to worry about the price in some other store that they happen to be standing in that has those goods,” Rossy said.

“Well, when times are tougher, they’ll consider the extra five minutes to go to the store next door.”

This report by The Canadian Press was first published Sept. 11, 2024.

Companies in this story: (TSX:DOL)

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U.S. regulator fines TD Bank US$28M for faulty consumer reports

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TORONTO – The U.S. Consumer Financial Protection Bureau has ordered TD Bank Group to pay US$28 million for repeatedly sharing inaccurate, negative information about its customers to consumer reporting companies.

The agency says TD has to pay US$7.76 million in total to tens of thousands of victims of its illegal actions, along with a US$20 million civil penalty.

It says TD shared information that contained systemic errors about credit card and bank deposit accounts to consumer reporting companies, which can include credit reports as well as screening reports for tenants and employees and other background checks.

CFPB director Rohit Chopra says in a statement that TD threatened the consumer reports of customers with fraudulent information then “barely lifted a finger to fix it,” and that regulators will need to “focus major attention” on TD Bank to change its course.

TD says in a statement it self-identified these issues and proactively worked to improve its practices, and that it is committed to delivering on its responsibilities to its customers.

The bank also faces scrutiny in the U.S. over its anti-money laundering program where it expects to pay more than US$3 billion in monetary penalties to resolve.

This report by The Canadian Press was first published Sept. 11, 2024.

Companies in this story: (TSX:TD)

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Amazon rejects plea to stop selling taxi roof signs as cab scam spreads across Canada

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After a long day at a work event in July, Kathryn Kozody was relieved when she spotted a car with a lit-up taxi sign.

She thought it was odd when the driver told her she’d have to pay her fare with a debit card. Still, a tired Kozody hopped in the car.

“I was like, ‘Fine, it’s kind of weird, but let’s go home,'” said Kozody, who lives in Calgary.

Nothing else seemed off — until the next day when she discovered that almost $2,000 was missing from her bank account. On top of that, her debit card had someone else’s name on it.

Kozody concluded that the taxi driver was a fraudster who, during the debit card transaction, recorded her PIN, stole her card and handed her back a fake.

“I started freaking out,” she said. “It’s terrifying when they have your debit card.”

It took Kozody about two weeks to get her money back from her bank, and she’s still rattled by the experience.

The day after taking what she thought was a ride in a taxi, Kathryn Kozody of Calgary found out someone had withdrawn almost $2,000 from her bank account. (James Young/CBC News)

“It really felt like an invasion of privacy and a violation to be a victim of this scam,” she said. “I really don’t want it to happen to anybody else.”

The taxi scam isn’t new; Toronto and Montreal have been seeing it for years. But the crime is becoming more widespread.

This summer, police in Calgary, Edmonton and at least five cities in southern Ontario, including Kingston and Ottawa, posted warnings online that they had received multiple reports of the scam.

Police and the Canadian Taxi Association say the fraudsters have a helping hand: with the click of a button, they can purchase a generic — but official looking — taxi roof sign on e-commerce sites like Amazon.

Edmonton Police posted this alert on Facebook in July, warning people about an ongoing taxi scam. The city’s police department says that it received about 10 reports of the scam that month. (Edmonton Police/Facebook )

The taxi association has asked Amazon, by far Canada’s most popular online shopping site, to stop making the roof signs so easily available.

“They do have a moral responsibility to at least sell the signs to individuals that are properly licensed,” said association president Marc André Way.

However, the U.S.-based company continues to sell the product to all customers.

“These lights are legal to sell in Canada,” Amazon told CBC News in an email.

‘Eye-popping’ numbers

The taxi scam has several variations but typically ends the same way: the victim pays with a debit card, then the scammer secretly steals it and hands the victim a similar but fake card. Shortly thereafter, money disappears from the victim’s account.

Ron Hansen, deputy chief of police in Sarnia, Ont., said his department received 12 reports of the scam in July, with one victim losing $9,900.

Toronto police report that since June 2023 the department has received 919 reports of the taxi scam, totalling $1.7 million in losses.

Jessica Chin King of Toronto said after a recent cab ride, she got a suspicious activity alert from her bank. She learned $600 had been withdrawn from her account. (Craig Chivers/CBC)

The numbers are “eye-popping,” said Toronto police detective David Coffey.

“When they do get a victim, they are quick to go right into the bank accounts. They’re quick to empty them out.”

Jessica Chin King of Toronto said just 15 minutes after a recent cab ride, she got a suspicious activity alert from her bank. Turns out, $600 had been withdrawn from her account.

“I was like, ‘Wow, I can’t believe that just happened.’ I was in shock,” said Chin King, whose bank later reimbursed the cash.

She said she too was fooled by the taxi sign atop the car.

“I was in the car with somebody who wasn’t a taxi driver. Anything could have happened,” she said. “I was thankful that it was only my bank [account] that was compromised.”

Taxi light for $35 on Amazon

CBC News bought a taxi sign from Amazon for $35. It has a magnetic strip on the bottom, so it easily sticks to the top of a car.

To power the light, an attached wire can be run through the driver’s window and plugged into the car’s auxiliary power outlet, also known as the cigarette lighter outlet.

The taxi association says licensed taxi drivers typically get their roof signs from speciality suppliers, and they are hardwired to the car — not powered via the cigarette lighter.

“When you see that … it’s obvious that it’s not a legitimate taxi,” said Way, the association president.

Last month, Way sent Amazon a letter on behalf of the Canadian Taxi Association, asking it to stop selling the product.

“This is not a safe, practical way to distribute the trusted ‘Taxi’ signs,” he wrote.

CBC News ordered this $35 taxi sign on Amazon. The attached wire can be run through the driver’s window and plugged into the car’s auxiliary power outlet, while the lights for licensed drivers are hardwired into the vehicle. (Sophia Harris/CBC News)

But Amazon told Way — and CBC News — the signs will remain on its site, because the company isn’t breaking any rules.

“It’s going to be quite difficult, I think, for anyone to stop Amazon from selling a product that is perfectly legal to sell,” said Toronto criminal lawyer, Daniel Goldbloom. “It’s true that these taxi signs can be used to commit scams, but kitchen knives can be used to commit murder — and we don’t stop retailers from selling those.”

But Way isn’t giving up hope.

He says the taxi association also plans to ask other online retailers, such as Temu and eBay, to stop selling the taxi signs and will lobby provincial governments for legislation that regulates the sale of the product.

However, Coffey said he believes the best way to fight the taxi scam is to educate people about it.

“Never, never give another person control of your debit card,” the detective said.

Victims Chin King and Kozody also want to spread the word.

“The more people know, the less likely it is to happen again to somebody else,” Kozody said.

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