New York (AFP)

Carlos Ghosn, the former fallen CEO of the Renault-Nissan alliance, settled on Monday amicable prosecution for fraud in the United States, an agreement that provides for a fine of one million dollars and prohibits him from managing, for ten years, a publicly traded company in the United States.

Mr. Ghosn and Greg Kelly, one of his lieutenants, have concealed more than $ 140 million in compensation and pension compensation to be paid to the first in his capacity as boss of Nissan, denounced the SEC, the US policeman of the Stock Exchange, which was preparing to sue them in court.

"From 2009 until his arrest in Tokyo in November 2018, (Carlos) Ghosn, with the substantial help of (Greg) Kelly and his subordinates at Nissan, took part in a manipulation to conceal more than 90 million compensation dollars, and has also increased by more than 50 million the pension benefit of Ghosn, "summarized the authority of the financial markets.

Without acknowledging or denying these accusations, MM. Ghosn and Kelly have reached an agreement with the SEC to settle the lawsuits.

"Kelly and Nissan's Ghosn subordinates have fooled Nissan's chief financial officer, and Nissan has made misleading statements about Mr. Ghosn's increasing pension payout," the SEC said.

"In a nutshell, Nissan's statements on Ghosn's pay were false," insisted Steven Peikin, one of the SEC's officials.

Listed companies have the obligation to disclose in their annual report the compensation awarded to their key executives. The emoluments of the CEO, once validated by the Board of Directors, are also often submitted to the vote of shareholders at the Annual General Meeting.

Mr. Ghosn has been fined $ 1 million and is prohibited from running a listed company for 10 years. This penalty means that Ghosn's 65-year-old entrepreneurial career is now in abeyance.

Nissan, for its part, was fined $ 15 million by the US authorities.

- Camp Ghosn satisfied -

Mr. Ghosn also pledged not to be a member of a board of directors during this period.

"We are satisfied with the conclusion of this agreement in the United States which intervenes without there being any finding or recognition of wrongdoing and which thus ratifies the procedure without Carlos Ghosn having admitted or refuted the allegations of the SEC" , welcomed the advice of Mr. Ghosn in a statement.

They argue that the end of the SEC prosecution is "a happy ending" and that they will now devote themselves to "challenging the legal actions and denying allegations against them in the criminal proceedings in Japan".

Carlos Ghosn faces four indictments, two of which (those on undeclared deferred pay) for which his former collaborator Greg Kelly and car manufacturer Nissan are also implicated as a legal entity.

He has also been charged with "aggravated breach of trust" over transfers of funds to Nissan intermediaries in Saudi Arabia and Oman. Part of this money would have been used for personal investments, according to the charges presented by the prosecutors.

Arrested in November 2018, Mr. Ghosn, who claims his innocence, was released on bail last spring. Since these legal difficulties, he has been stripped of all his functions within Renault and Nissan.

In addition to the $ 15 million fine, Nissan is committed to no longer violating US fraud laws.

"Nissan has provided significant cooperation to the SEC and immediately put in place measures to prevent such a situation from reoccurring, including a new governance structure," responded the Japanese automaker.

He has also amended his financial statements in the last five years to reflect the true remuneration of Mr. Ghosn.

As for Greg Kelly, he will pay $ 100,000 to the US authorities and will not be able to lead or be a member of a company's board of directors for five years.

© 2019 AFP