Report: Japan to file charges against Nissan in Ghosn scandal

Some experts have wondered how Ghosn could have underreported his income without others at the company having knowledge of the impropriety.

Prosecutors in Japan are reportedly preparing to file charges against Nissan related to the alleged misdeeds of former chairman Carlos Ghosn.

The Japanese automaker accused the superstar executive of underreporting tens of millions of dollars in income. The allegations immediately raised questions of how Ghosn could have pulled off the alleged scheme without complicit involvement from teams tasked with reviewing such compensation and reporting figures to shareholders.

A Nikkei report now suggests Nissan will also face charges in the scandal, as companies can be held accountable for any false statements in their mandatory financial reporting. In Nissan's case, prosecutors are said to be focused on Nissan's failure to prevent Ghosn and alleged accomplice Greg Kelly from issuing false information across several years.

Unnamed sources suggest Nissan, Ghosn and Kelly will be indicted for misstatements in five annual reports up to 2015. Ghosn and Kelly are reportedly expected to be rearrested for further reporting problems in the three following years.

Separate reports have framed the scandal as a coup designed to oust Ghosn and his lieutenant as the executive pushed closer to kicking off a merger plan between Nissan and alliance partner Renault. The Japanese automaker is said to be vehemently opposed to such a move.