Don't miss

Replay


LATEST SHOWS

MEDIAWATCH

It's Not EU, It's Me

Read more

BUSINESS DAILY

Markets muted as UK begins Brexit proceedings

Read more

THE DEBATE

'Thank you and goodbye': Clock starts on Brexit negotiations (part 1)

Read more

THE DEBATE

'Thank you and goodbye': Clock starts on Brexit negotiations (part 2)

Read more

ENCORE!

Film show: 'Ghost in the Shell', 'The Confession' and Jean Rouch centenary

Read more

FOCUS

Italy: Anti-establishment mayor of Rome faces grim reality of power

Read more

MIDDLE EAST MATTERS

Refugees of rap: Using music to speak out about the Syrian war

Read more

THE POLITICAL BRIEF

Rise of populism: Could far-right leader Le Pen be France's next president?

Read more

IN THE PAPERS

Countdown to Brexit: 'The eyes of history are watching'

Read more

Business

US may fine Toyota 16.4 million dollars over safety recall

Text by News Wires

Latest update : 2010-04-05

The US Department of Transportation said on Monday that it proposes fining Japanese automaker Toyota 16.38 million dollars for failing to notify the authorities about safety problems with its vehicles.

REUTERS - U.S. regulators on Monday proposed fining Toyota Motor Corp the maximum penalty of $16.4 million, saying the company failed to notify the government in a timely way about accelerator pedal flaws that were the subject of a massive recall in January.

The Transportation Department's National Highway Traffic Safety Administration accused Toyota of failing to notify regulators about the defect for at least four months even though Toyota knew of potential risks to consumers.

The penalty being sought would be the largest fine ever levied against an auto manufacturer by the U.S. government.

The previous largest fine was $1 million against General Motors because of a windshield wiper failure in 2002-2003 model vehicles.

Auto manufacturers are legally obligated to notify regulators within five business days if they determine that a safety defect exists.

Regulators learned through documents obtained from Toyota that the company knew of the "sticky pedal" defect since at least September 2009. The recall of approximately 2.3 million vehicles in the United States was announced in late January.

A representative from Toyota could not immediately be reached for comment.

Date created : 2010-04-05

  • AUTO INDUSTRY

    Despite safety recalls, Toyota sees 50.7% sales increase in Japan

    Read more

  • AUTO INDUSTRY

    Sticky accelerator pedals land Toyota in court for first time

    Read more

  • AUTO INDUSTRY

    Toyota chief accused of insufficient contrition

    Read more

COMMENT(S)