France Said to Back Bollore as Interim CEO at Renault

The French government backs a plan to name Thierry Bollore, Renault SA’s chief operating officer, to be interim CEO, according to Bloomberg News.

Sources tell the news service that Philippe Lagayette is likely to be backed by the government, which owns 15% of Renault, as non-executive chairman at Renault.

Both positions currently are held by Carlos Ghosn, who was arrested earlier this week in Japan on suspicions of financial wrongdoing at Nissan Motor Co. Ghosn also is chairman of Nissan, Mitsubishi Motors Corp. and the equity-based alliance among the three companies.

Renault says Bollore is in charge of the continuity of the company’s executive committee, adding that all corporate governance procedures are “fully functional” during the crisis. The board may announce the appointments following a special meeting this evening.

Bollore, 55, came to Renault six years ago from PSA Group’s Faurecia auto parts affiliate. He has been considered Ghosn’s heir apparent after being promoted to COO in February. Both men began their careers at tiremaker Michelin & Cie.

Lagayette, 75, joined Renault’s board in 2007. He oversees the audit, risks and ethics committee, which is expected to play a central role in the widening investigation into Ghosn’s compensation and use of corporate assets.

France is Renault’s most assertive shareholder. The state has skirmished for years with Ghosn over executive pay and the structure of the Renault-Nissan-Mitsubishi alliance. The partnership, including Renault’s own board, have chafed at the government’s oversight, whose primary goal is to protect jobs in France.