Toyota slapped with $180 million fine for violating Clean Air Act
A settlement of $180 million will be paid by Toyota after claims that the company violated the US Clean Air Act for a decade. The lawsuit will be laid to rest in return for the settlement, announced Thursday. Toyota had systematically violated the act, which requires emission-related defects to be reported and recalled by manufacturers. Companies in the automotive industry are required to report to the EPA when 25 or more vehicles have a defect related to emissions standards in a given year.
The reporting requirements allow automotive manufacturers to voluntarily investigate and repair defects. The complaint filed alleges that from 2005 to 2015, Toyota did not meet the reporting requirements. At least 78 Emissions Defect Information Reports and reports of fixes for emissions-based issues were delayed, some for eight years. The penalty of $180 million is the largest penalty to date for EPA reporting standards violations.