(Bloomberg) — Toyota Motor Corp. has agreed to pay a $1.2 billion penalty to end a U.S. criminal probe into sudden unintended acceleration that led to the recall of more than 10 million vehicles.
As part of the deal, Toyota will fully admit wrongdoing, pay the penalty and submit to "rigorous" review by an independent monitor, Attorney General Eric Holder said. Toyota also will be charged with wire fraud, with the prosecution deferred for three years as long as the company continues cooperation with authorities.
"Toyota intentionally concealed information and misled the public," Holder said today at a Justice Department news conference. "Toyota confronted a public-safety emergency as if it were a simple public-relations problem."
The settlement represents the largest criminal penalty imposed on an automaker in the U.S., he said.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
