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NHTSA Readies Penalties for FCA Over Tardy Recalls
The National Highway Traffic Safety Administration indicates it will announce penalties by the end of August against Fiat Chrysler Automobiles NV for what it considers the company's laggardly performance in handling several recent recalls.
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The National Highway Traffic Safety Administration indicates it will announce penalties by the end of August against Fiat Chrysler Automobiles NV for what it considers the company's laggardly performance in handling several recent recalls.
Media reports say FCA might be fined more than $700 million and ordered to buy back or replace some vehicles involved in the campaigns.
Last month NHTSA detailed its complaints in a highly critical report about 23 FCA recalls since 2013 that involve more than 11 million vehicles. On Thursday the agency held a hearing to review the report's findings, which cite tardy safety reports, problems getting replacement parts made and delivered to dealers and recall campaigns that fail to fix the targeted problem.
FCA safety officials met with NHTSA in June to explain changes to the company's safety and recall procedures. Some of the revised policies were to take effect on July 1, prompting an unsuccessful plea from the carmaker to cancel the July 2 hearing.
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