Monday, April 5, 2010

U.S. seeks maximum civil penalty against Toyota



Here's an article that came from the Washington Post. Please read the last paragraph, which I simply find amazing.
Washington Post Staff Writer

Monday, April 5, 2010; 4:37 PM


The United States is seeking the maximum civil penalty of $16.375 million against Toyota for failing to notify safety regulators of its "sticky pedal" defect for at least four months, Transportation Secretary Ray LaHood announced Monday.

Roughly 2.3 million Toyotas have been recalled for the sticky pedal defect. Millions more have been recalled for a defect that causes the floor mats to become entrapped.

"We now have proof that Toyota failed to live up to its legal obligations," LaHood said. "Worse yet, they knowingly hid a dangerous defect for months from U.S. officials and did not take action to protect millions of drivers and their families. For those reasons, we are seeking the maximum penalty possible under current laws."

Although the proposed civil penalty is the largest permitted, it is small relative to the size of the automaker's business in the United States. Some safety advocates have called for legislation that would raise the financial penalties and criminal sanctions.

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