Honda fined $70 million by Department of Transportation for failing to report deaths

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WASHINGTON (PIX11) — Honda was fined $70 million by the U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) for failing to report deaths and other claims, the agency announced Thursday.

As a result of a NHTSA investigation, it was revealed Honda failed to report 1,729 death and injury claims between 2003 and 2014. The company also failed to report certain warranty claims and claims under customer satisfaction campaigns in the same time period.

Honda has since agreed to pay two $35 million civil penalties. It also agreed to increased oversight by the department and third party audits to ensure that all required reporting is completed now and into the future.

“Today’s announcement sends a very clear message to the entire industry that manufacturers have responsibility for the complete and timely reporting of this critical safety information,” said NHTSA Administrator Dr. Mark Rosekind.

“The actions we are requiring will push Honda to significantly raise the bar on the effectiveness of its EWR reporting program. Our ongoing oversight will ensure compliance and determine if there is cause for additional actions.”

NHTSA issued the following civil penalties in 2014:

  • Honda, $70,000,000, for failing to both submit early warning reports and warranty claims.
  • Gwinnett Place Nissan, $110,000, for failing to perform recall remedy in new motor vehicles prior to sale and delivery.
  • Ferrari S.p.A. and Ferrari North America, Inc, $3,500,000, for failing to submit early warning reports.
  • Chapman Chevrolet LLC, $50,000, for failing to perform recall remedy in new motor vehicles prior to sale and delivery.
  • Hyundai Motor America, $17,350,000, for the failure to issue a recall in a timely manner.
  • General Motors Company, $35,000,000, for the failure to issue a recall in a timely manner.
  • General Motors Company, $441,000, for failing to fully respond to Special Order by due date.
  • Prevost, a division of Volvo Group Canada, Inc; Volvo Industrial de Mexico S.A. de C.V.; and Prevost Car (US) Inc., $250,000, the second of six annual installments of a total of $1.5 million in civil penalties, for untimely recalls and untimely submission of early warning reports, and technical service bulletins (TSBs).
  • Southern Honda Powersports (a/k/a Big Red Powersports LLC), $25,000, the second of five annual installments of a total of $125, 000 in civil penalties, for the sale of unrepaired, recalled vehicles.