Tokyo (CNN Business) Greg Kelly, the US businessman accused of helping Carlos Ghosn under-report his income at Nissan, has been released from jail in Japan after being granted bail.

The Tokyo District Court set bail at 70 million yen ($635,000) for Kelly, who has been in detention since his arrest on November 19. An appeal by prosecutors was rejected and Kelly was released late Tuesday night in Japan.

Kelly and Ghosn were indicted two weeks ago on allegations they collaborated to under-report Ghosn's compensation in Nissan's securities filings by about 5 billion yen ($45 million) over a five-year period ending in March 2015, according to prosecutors.

The accusations have rocked Nissan ( NSANY ), one of the world's top automakers, and strained its longstanding alliance with France's Renault ( RNSDF ).

Kelly denies any wrongdoing. His wife said he had been wrongly accused as part of a power grab by Nissan executives targeting Ghosn — an allegation Nissan disputes.

Read More