Published On: Mon, Sep 23rd, 2019

Nissan and Carlos Ghosn Settle S.E.C. Charges of Underreporting Income

TOKYO — Nissan will pay a $15 million fine, and Carlos Ghosn, the former chairman of the Japanese automaker, will pay $1 million, to settle charges related to false financial disclosures, the Securities and Exchange Commission said Monday.

The settlement is the latest fallout from Mr. Ghosn’s arrest in Japan in November. Prosecutors have indicted Mr. Ghosn, and Nissan itself, on charges of underreporting around $80 million in compensation for the executive. The scandal has shaken Nissan, where profits have plummeted, and caused cracks in its alliance with the French automaker Renault just as the car industry faces costly new challenges.

The S.E.C. opened its inquiry in January. Greg Kelly, a former Nissan executive whom prosecutors have charged with trying to assist Mr. Ghosn hide the income, will pay $100,000, the S.E.C. said.

Nissan and the two executives settled the charges without admitting or denying any allegations, the S.E.C. said.

This is a developing story. Please check back for updates.