Nissan CEO returns part of salary after inspection scandal

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YOKOHAMA, JAPAN The CEO of Japanese car giant Nissan said yesterday he will return part of his pay until next March following a damaging inspection scandal.

Nissan recalled some 1.2 million vehicles after admitting in October that staff without proper authorisation had conducted final inspections on some vehicles intended for the domestic market before they were shipped to dealers.

It suspended all production destined for the local market last month, but resumed production last week at all plants.

"I have been returning part of my monthly pay since October," Nissan president and chief executive officer Hiroto Saikawa told reporters yesterday.

Mr Saikawa, who took over the top position from Mr Carlos Ghosn earlier this year, said he would continue doing so until the end of March 2018.

"I'm doing this on a voluntary basis," he said, adding that he "understands" that other executives have been doing the same. Details of the executives' salaries were not immediately available.

Nissan also submitted the results of a probe into the scandal to the transport ministry.

The report acknowledged that improper inspections became "the norm by the 1990s at many of the plants," adding that misconduct may have been carried out since 1979 at one plant. - AFP