Seece is right, the punishment doesn't fit the crime. He should be paying back the entire amount he took from Nintendo rather than a portion.
Despite that misleading intro, I think he should have to pay Nintendo back everything they loss. Considering he only has to pay $1.5 million of that $5 million, he's getting a pretty good deal. But his attempt to try and slant his story pretty much shows what kind of person this guy is. At least man up to what ya did.