Ghosn’s Deferred Pay Ballooned After Shift in Rules
- Deferral made his compensation look smaller in public filings
- Pay arrangement has emerged as a reason behind Ghosn’s arrest
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Carlos Ghosn’s deferred income ballooned over the past eight years as he sought to downplay his compensation in front of shareholders, a practice that was a focus of the investigation that led to the car titan’s arrest, according to people familiar with the probe.
Japan started requiring executive pay be made public in 2009 amid investor backlash against high salaries. Since then, Nissan Motor Co. committed to pay Ghosn more than 8 billion yen ($70 million) in income deferred until his retirement, said the people, asking not to be named discussing information that isn’t public.