FILE PHOTO: The Nissan logo is seen at the North American International Auto Show in Detroit, Michigan, U.S., January 14, 2019. REUTERS/Jonathan Ernst
TOKYO (Reuters) – Japan’s markets watchdog will likely recommend that the financial regulator fine Nissan Motor Co up to 4 billion yen ($37 million) over the alleged underreporting of former Chairman Carlos Ghosn’s compensation, a source said.
The Securities and Exchange Surveillance Commission (SESC) will likely recommend the fine on the basis that Ghosn’s alleged underreported salary had a “significant” impact on investor decisions regarding the company, the source said, declining to be identified.
A spokesman for the SESC declined to comment on specific cases, while Nissan was not immediately available for comment.
The SESC is expected to formally start investigating the issue before the end of the month, when it examines Nissan’s latest annual filings, the source said.
If Nissan files documentation to the SESC before the formal investigation begins and recognizes that previous reporting was incorrect, it may receive a reduced fine of around 2.4 billion yen, the source said.
Reporting by Takahiko Wada; Writing by Naomi Tajitsu; Editing by David Dolan
