Mr. Ghosn was indicted on Dec. 10 on charges of underreporting his compensation on Nissan’s financial statements over a five-year period ended March 2015. Prosecutors have cited additional suspicions that he underreported his compensation for the three years ended March 2018.

On Thursday, they sought to hold Mr. Ghosn for an additional 10 days without possibility of bail on the basis of those additional suspicions, but the Tokyo court rejected the request.

Mr. Ghosn maintains his innocence, according to a person familiar with his legal defense. Mr. Ghosn’s Japanese lawyer, Motonari Otsuru, couldn't be reached for comment Thursday.

Japanese authorities tend not to release defendants on bail unless they have confessed, but pressure has been rising from family members for an early release of Mr. Ghosn and his alleged accomplice Greg Kelly, a former executive at Nissan who remains a director at the company.

Prosecutors’ request to extend the period of Mr. Kelly’s detention without bail was also rejected by the Tokyo court.

Mr. Kelly’s Japanese lawyer, Yoichi Kitamura, has said that his client’s innocence will be proven in court.

Messrs. Ghosn and Kelly have been detained since their arrest on Nov. 19.

Mr. Kelly’s wife, Dee Kelly, expressed concern for her husband’s medical condition in a video statement sent to The Wall Street Journal. Mr. Kelly has been diagnosed with a spinal ailment called spinal stenosis, which requires surgery to fix. Mr. Kelly experiences numbness and shooting pains in his extremities and his symptoms have worsened since his detention, according to Ms. Kelly.

The Tokyo prosecutors office has said Mr. Kelly was receiving proper care in detention.

Mr. Kelly’s U.S. doctor said the symptoms could become permanent if he doesn’t have the surgery within two months, according to Ms. Kelly.

Write to Sean McLain at sean.mclain@wsj.com