Nissan Hit By New Inspection Scandal After Ghosn Arrest

2018 Nissan Murano Platinum

2018 Nissan Murano Platinum

Several employees admitted they carried out "improper" tests on brake and other systems before shipment, the newspaper said, without specifying how many cars were affected.

Nissan's Vice President Seiji Honda said that a recall will be issued next week and measures will be taken to prevent such irregularities, reported AP.

Tokyo prosecutors have chose to indict Nissan as well as its former chairman Carlos Ghosn and another executive as early as next week over alleged financial misconduct, a report said Friday.

Nissan has announced plans to recall approximately 150,000 vehicles owing to improper tests on new units. "We will continue to do so", spokesman Nicholas Maxfield told AFP.

The manufacturer was forced to recall more than one million vehicles past year after admitting staff without proper authorisation had conducted final inspections on some units intended for the domestic market before they were shipped to dealers.

Nissan admitted in July this year to fabrication of data involving auto exhaust emissions tests at five of its domestic plants, affecting 1,171 vehicles.

The pair were arrested on November 19 on suspicion of conspiring to understate Ghosn's pay by some five billion yen ($44 million) in official filings during the five years up to March 2015.

Neither Ghosn nor Kelly have yet been officially charged, and they deny any wrongdoing.

In an explosive press conference Monday, Saikawa said that "over many years" Ghosn and Representative Director, Greg Kelly, had been under-reporting compensation amounts to the Tokyo Stock Exchange securities report.

Reuters points out that Nissan could potentially be involved because Japanese law holds companies accountable when specific people make false statements in company reports.

But since his shock arrest, he has been removed from the boards of Nissan and Mitsubishi Motors.

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