Font Size
Share this article


Print Friendly Version
11 December 2019
INVESTMENT

Nissan faces $22 million fine for underreporting Ghosn’s pay

Carlos Ghosn, who has denied charges of underreporting income and diverting company money for his own use, is free on bail as he prepares for a trial set to start next year.

Carlos Ghosn, former Chairman of Nissan Motor Company/Bloomberg


Japan’s securities regulators said that Nissan Motor Corporation is set to be fined JPY 2.4 billion ($22 million) for underreporting former Chairman Carlos Ghosn’s compensation, reported Bloomberg.

The Securities and Exchange Surveillance Commission made the recommendation just over one year after Ghosn’s arrest, which shocked the auto industry and triggered turmoil at the Japanese automaker and its alliance partner, Renault.

Nissan is struggling to chart a path to growth after announcing a plunge in profitability to decade lows and 12,500 job cuts and replacing top management.

In September 2019, the Securities and Exchange Commission settled with Nissan and Ghosn over claims that they failed to disclose more than $140 million in pay. Nissan will pay the US regulator $15 million while Ghosn was hit with a $1 million penalty as part of the settlement.

The Japanese watchdog claimed Nissan violated the country’s financial instruments law by underreporting remuneration through March 2018. Nissan had asked for the fine to be reduced from an initial JPY 4 billion.

 


RELATED STORIES: Nissan Motor Corporation Securities and Exchange Surveillance Commission Carlos Ghosn Renault


RECOMMENDED NEWS



BRANDS MAGAZINES LATEST EDITION

OUR BRANDS



CPI Financial was established in Dubai in 1999 to meet the needs of an ever-expanding financial community, offering a comprehensive portfolio of market-leading products and services tailor-made for the banking and financial services sectors.


Subscribe to our News Letter

Subscribe

© 2019 CPI Financial. All rights reserved.

No part of this website may be reproduced or used in any form of advertising without prior permission in writing from the editor.