Fiat Chrysler Automobiles is liable to pay a $70 million fine due to their failure to report claims of death and injury to US auto safety regulators.
According to Autonews, the fine was made official after FCA told the NHTSA back in September that it had discovered “significant” under-reporting of crash deaths and injuries possibly linked to vehicle defects. Aside from the monumental fine, FCA also acknowledged that the reporting failures date back to when the TREAD Act first went into effect in 2003.
“FCA US LLC accepts these penalties and is revising its processes to ensure regulatory compliance,” stated the company. “However, FCA US is confident that it identified and addressed all issues that arose during the relevant time period, using alternate data sources.”
The NHTSA fined Honda $70 million back in January for similar reporting failures, since under law, car manufacturers have to submit reports of deaths or injuries sustained in accidents that might have something to do with certain vehicle defects, lawsuits, consumer complaints and warranty claims.
“We need FCA and other automakers to move toward a stronger, more proactive safety culture, and when they fall short, we will continue to exercise our enforcement authority to set them on the right path,” said Transportation Secretary Anthony Foxx.
This new fine is actually in addition to a $70 million cash penalty that FCA had already agreed to pay – part of a July consent where violations were found in FCA’s handling of 23 recalls since 2009. On this issue, FCA still faces up to $35 million in deferred penalties if they won’t meet the terms of the deal.
NHTSA Administrator Mark Rosekind said that the NHTSA’s “enforcement actions in recent months have been designed not only to penalize previous actions, but to increase safety going forward. FCA has expressed a desire to use this situation as a stepping stone to a stronger, more proactive safety posture, and NHTSA is ready to work with FCA and the industry as a whole to improve safety.”
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