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Fiat Chrysler Fined an Additional $70 Million for Recall Failures

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Chelcy Williams2 years ago

Fiat Chrysler automobiles has been hit with additional $70 million fine by the Obama administration for failing to adequately address previous recalls, making their total fine amount $175 million, according to Transportation Secretary, Anthony Foxx.

About the Latest Fine

The added fine amount occurred after the automaker failed to properly repair recalled cars or replace them for owners.

The National Highway Traffic Safety Administration (NHTSA) issued a $105 million fine against Fiat Chrysler in July, stating the company improperly handled recalls that affected 11 million automobiles.

Mark Rosekind, NHTSA Administrator, said the fines that are being imposed on Fiat Chrysler are a testament to the Obama administration's commitment to cracking down on U.S. automakers failing to properly inform drivers and regulators about safety defects.

Fiat Chrysler Agrees to Buy Back 1.5 Million Vehicles

Along with the fine, Fiat Chrysler has also been ordered to buy back one and a half million vehicles.

Owners of half a million vehicles equipped with defective suspension parts that can result in vehicle losing control will be granted an opportunity to sell the defective vehicles back to Fiat Chrysler.

Similarly, owners of more than one million Jeeps which have been linked to deadly fires will be granted the chance to either trade in the dangerous vehicles for above market value or receive a financial incentive for vehicle repair.


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