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U.S. Extends Oversight on FCA’s Safety Recall Process
Fiat Chrysler Automobiles NV has been ordered to submit to an additional year of U.S. monitoring of its efforts to address shortcomings in its safety recall procedures.
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Fiat Chrysler Automobiles NV has been ordered to submit to an additional year of U.S. monitoring of its efforts to address shortcomings in its safety recall procedures.
The monitoring began a year ago under a record $105 million settlement of findings by the National Highway Traffic Safety Administration that the company stalled on 23 recalls affecting more than 11 million vehicles in the U.S.
Under the consent order, FCA was fined $70 million and required to spend at least $20 million over three years to meet reporting requirement imposed by the order. The company faces an additional $15 million fine if it fails to meet future NHTSA standards.
NHTSA decided on the extension to “facilitate continued communication” and not because of any shortcomings on FCA’s part, according to the company.
In May NHTSA announced a similar one-year extension of monitoring General Motors Co. after the carmaker’s 10-year delay in recalling 2.6 million faulty ignition switches. The devices were blamed for 474 fatalities and nearly 3,900 serious injuries.
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