Nissan, J. Lonsdale And Nick Kostov discussed on WSJ What's News
So nick. This is a complicated story. But what do we know about the funds that carlos goan used used for his investments in silicon valley startups so this story really begins in twenty fifteen and that year the the goan set up open investment vehicle in delaware who'd shotgun investments and this vehicle is to invest in startups in silicon valley so do i this work does that going son antony who was working at the time for a silicon valley investor j. lonsdale he would find investments and find stops which he thought would do well and he woods either make the investment himself. If there were swollen investments they were larger investments he would oscar's dodds for permission and for funds to invest the money in today startup so for example he wanted to make an investment in grab and so he amount his dad saying the grab was interesting investment and his dad sent over two million dollars and anthony obviously made that investment excellent so anthony who's ready to hunt going really provided the funds and obviously these funds now no we're coming from a nissan san client who is based in no man and who deposits money in a funding in lebanon and which then mr going direct rex to shogun investments okay so so what do we know about this connection with the fund in lebanon so the money which ended up at the delaware funding which was been invested into various start ups. We know that it came from an executive at a nissan distributorship co-defender kumar he's an international and he transferred the money from his bank account in switzerland to lebanon-based vehicle and then the money was transferred over to shotgun investments in the u._s. Now would japanese prosecutors allege. What nissan investigators believe is that. This money was actually siphoned-off from incentive payments that nissan were paying to the distributor in. I'm so japanese. Prosecutors specifically say that of two five million dollar payments that nissan may to the distributor twenty seventeen in two thousand eighteen five million of that they charge was diverted through the international defender cuma lebanon and over to show gun investments in the u._s. Now how tall us gun has very strongly denied these allegations yeah obsolete colors golden denies the allegations completely and forcefully and says he will fight inco and if given a federal prevail he says that this was a private investment he was providing private investment advice and that there was absolutely no link between screened the money that nissan which paints distributor and the money to defend ukraine with providing in that ended up as shogun investments yeah we'll forgetting any notion of criminality analogy. We still know that he had a personal business dealing with a client of nissan. What can we learn from this story about the broader gun saga. I think the story can paint a fuller picture of college <unk> actions. I didn't know of time the since november people who've been talk talk about this case in black and white is gonna give t's not guilty if he's not guilty then he should be allowed to go free. We we don't have anything criminal here but at least it allows houses to save more weakened <unk> very say that he started a kind of parallel business with a with a nissan client where he helps to invest forty million euros of funds coming from this person whether it's criminal or not i think it by international business standards. Many people say that that that shows somewhat questionable schnabel judgments and also decided that he didn't he didn't tell the company maybe create some sort of conflict of interest so i think it allows houses to to paint a picture of his actions in the years the japanese prosecutors and listening to the wall street journal's nick kostov and that's what's news for monday afternoon. I'm charlie turner for the wall street journal.