The French government said on Tuesday it had found no evidence that auto boss Carlos Ghosn, who heads the Renault-Nissan-Mitsubishi alliance, had cheated on his taxes in France.
Economy Minister Bruno Le Maire told France Info radio that he had ordered an inquiry into Ghosn's tax affairs immediately after learning of his arrest in Japan but that it showed up "nothing in particular" about his tax situation in France.
Ghosn's arrest in Japan for alleged financial misconduct sent shockwaves through the auto industry and raised questions about the future of the sometimes fractious alliance of Nissan, Mitsubishi and Renault.
Nissan and Mitsubishi have already said they will propose removing him as chairman.
The board of Renault is to meet Tuesday to discuss his fate.
Le Maire said Ghosn, who serves as CEO of Renault, was "de facto no longer in a position to lead the group" and called for an "interim leadership".
He said he would meet Tuesday with the state's representatives at Renault to discuss the issue.
The French state has a 15-per cent holding in the group.
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