On Monday Nissan said it uncovered "significant acts of misconduct" linked to its Chairman Carlos Ghosn.
Nissan accused Ghosn and another board member of misrepresenting salaries over many years.
Ghosn is also accused of using company assets for personal use.
The company confirmed that Ghosn was arrested in Tokyo, Japan.
Nissan stock slid 6% in response to Ghosn's scandal.
Nissan is down 15.5% this year.
