Carlos Ghosn and Nissan Motor to be indicted on Monday

Carlos Ghosn Renault-Nissan

Tokyo prosecutors prepare to indict former Nissan Motor Chairman Carlos Ghosn on Monday for financial misconduct, the Nikkei business daily noted, ratcheting up their case against the auto tycoon.

Prosecutors also prepare to indict on the same day former representative director Greg Kelly together with the automaker itself, the Nikkei reported on Friday, citing unidentified sources.

The November 19 arrest of Ghosn and Kelly shook the foundations of the Renault-Nissan alliance and rocked the auto industry, where Ghosn is renowned for turning around the the automakers. Ghosn is still chairman and chief executive of Renault SA.

Ghosn and Kelly’s detention duration runs until Monday, when prosecutors should decide to indict, release, or rearrest them on fresh claims.

The Nikkei stated the two former executives and Nissan would probably be indicted over the alleged underreporting of earnings in five annual reports through the business year that ended in March 2015.

Ghosn and Kelly are also likely to be arrested again on suspicion of making misstatements in reports for the subsequent three financial years, the newspaper reported.

The Nikkei stated making false statements in an annual report was a crime for which not just the individuals involved but companies can be also held accountable, and prosecutors wanted to charge Nissan for not stopping the alleged crime.

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