DOT fines Honda $70 million

The U.S. Department of Transportation has fined Honda $70 million for failing to report deaths, injuries and certain warranty claims to the federal government. 

An investigation by the agency’s National Highway Traffic Safety Administration (NHTSA) revealed that the Japanese automaker failed to report 1,729 deaths and injury claims to the administration between 2003 and 2014 and failed to report warranty claims and claims under customer satisfaction campaigns during the same time period.

{mosads}Federal law requires that manufacturers submit early warning reports of potential safety concerns to the department.  The quarterly reports include production information; incidents involving a death or injury; data on property damage claims, consumer complaints, warranty claims and field reports, which tell if the car caught fire or rolled over in the accident. 

The information is then used to investigate whether safety defects or defect trends exist and warrant further action, including possible recalls, a news release said. 

“Honda and all of the automakers have a safety responsibility they must live up to — no excuses,” U.S. Transportation Secretary Anthony Foxx said in the release.

“Last year alone, we issued more fines than in NHTSA’s entire history. These fines reflect the tough stance we will take against those who violate the law and fail to do their part in the mission to keep Americans safe on the road.”

In 2014, the NHTSA issued more than $126 million in civil penalties, more than the total collected in the agency’s 43-year history. 

Under a consent order, Honda will now have to develop a written procedure for complying with early warning report requirements, train personnel on an annual basis and complete two third-party audits of its reporting compliance obligations.