Carlos Ghosn, the former head of Nissan, has agreed to pay $1 million (€909,000) and serve a 10-year ban from serving as an officer or director of a US company to settle fraud charges brought by the Securities and Exchange Commission.

The SEC announced on Monday it had filed the complaint against Mr Ghosn, who has been released on bail in Japan, where he has been charged with various accusations relating to his pay.

The commission also charged Greg Kelly, a former Nissan director, and Nissan itself. Mr Kelly accepted a fine of $100,000, as well as a five-year ban both on serving as a director and appearing as a lawyer before the commission. Nissan agreed to pay $15 million to settle the claims.

False disclosures

The commission found that Mr Ghosn, Mr Kelly and Nissan had helped conceal more than $140 million that the former chief executive received on retirement. None of the three defendants admitted or denied the charges.

Steven Peikin, co-director of the SEC's enforcement division, said: "Nissan's disclosures about Ghosn's compensation were false. Through these disclosures, Nissan advanced Ghosn and Kelly's deceptions and misled investors, including US investors." – Copyright The Financial Times Limited 2019