US Files Charge Against Toyota, $1.2B Penalty

By: Associated Press
By: Associated Press

The government has announced a $1.2 billion settlement with Toyota that Attorney General Eric Holder says is the largest financial penalty of its kind ever imposed on an auto company.

MGN Online

WASHINGTON (AP) -- The government has announced a $1.2 billion settlement with Toyota that Attorney General Eric Holder says is the largest financial penalty of its kind ever imposed on an auto company.

It also filed a criminal charge alleging the automaker defrauded consumers by issuing misleading statements about safety issues in Toyota and Lexus vehicles. Under a deferred prosecution agreement, an independent monitor will review policies, practices and procedures at the company.

The action concludes a four-year criminal investigation into the Japanese automaker's disclosure of safety problems, which focused on whether Toyota was forthright in reporting problems related to unintended acceleration.

Toyota has blamed drivers, stuck accelerators or floor mats that trapped the gas pedal for the acceleration claims that led to massive recalls of Camrys and other vehicles. The company has repeatedly denied its vehicles are flawed.

The National Highway Traffic Safety Administration never found defects in electronics or software in Toyota cars, which had been targeted as a possible cause.

Toyota says it has made fundamental changes to become "a more responsive and customer-focused organization."

(Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)


WBKO.com is happy to provide a forum for commenting and discussion. Please respect and abide by the house rules:

Keep it clean, keep it civil, keep it truthful, stay on topic, be responsible, no links, share your knowledge, and please suggest removal of comments that violate these standards.

powered by Disqus
WBKO 2727 Russellville Road Bowling Green, KY 42101-3976 Phone: 270-781-1313 After Hours Hotline: 270-781-6397 Fax: 270-781-1814
Gray Television, Inc. - Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 251072551 - wbko.com/a?a=251072551