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US announces $1.2b Toyota settlement
The company will admit that it misled US consumers by making deceptive statements about two safety issues affecting its vehicles.
The US has reached a $1.2 billion settlement with Toyota Motor Corp. and filed a criminal charge alleging the Japanese automaker defrauded consumers by issuing misleading statements about safety issues in Toyota and Lexus vehicles.
Under the agreement, announced on Wednesday by US Attorney-General Eric Holder, the company will admit that it misled US consumers by making deceptive statements about two safety issues affecting its vehicles. As a result, Toyota will pay a $1.2 billion financial penalty under a “deferred prosecution agreement.”
It is the largest penalty of its kind imposed on an automotive company by the US, Holder said.
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