Ford agrees to pay penalty to US government for moving too slowly on recalls

Source: ABC News/AP

November 14, 2024, 10:28 AM


DETROIT -- Ford Motor Co. will pay a penalty of up to $165 million to the U.S. government for moving too slowly on a recall and failing to give accurate recall information. The National Highway Traffic Safety Administration said Thursday that the civil penalty is the second-largest in its 54-year history. Only the fine Takata paid for faulty air bag inflators was higher.

The agency said Ford was too slow to recall vehicles with faulty rearview cameras, and it failed to give the agency complete information, which is required by the Federal Motor Vehicle Safety Act. Ford agreed to a consent order with the agency that includes a payment of $65 million, and $45 million in spending to comply with the law. Another $55 million will be deferred.

“Timely and accurate recalls are critical to keeping everyone safe on our roads,” NHTSA Deputy Administrator Sophie Shulman said. “When manufacturers fail to prioritize the safety of the American public and meet their obligations under federal law, NHTSA will hold them accountable.”

Under the order, an independent third party will oversee the automaker’s recall performance obligations for at least three years, and Ford has to cooperate with the monitor.

Read more: https://abcnews.go.com/Business/wireStory/ford-agrees-pay-165-million-penalty-us-government-115862275