US Looks to Increase Fines for Untimely Recalls
In the wake of the massive GM ignition switch recall, U.S. auto safety regulators want to increase the fines for untimely recalls.
U.S. Transportation Secretary Anthony Foxx is proposing to impose higher fines for automakers that don’t report recalls in a timely fashion. Currently, the maximum fine is set at $35 million, but Foxx would like to see that raised to a hefty $300 million. In addition, Foxx wants to force rental car companies to repair recalled vehicles before they are rented again.
SEE ALSO: GM Ignition Switch Recall Underway
Fines on automakers were doubled in 2012 from $17.5 million to $35 million and currently under the law, automakers have five days to recall vehicles after determining they pose an reasonable risk to driver safety.
NHTSA doesn’t have the authority to order an automaker to tell its owners to stop driving their recalled cars, and currently the agency must go through a two-step process of initial investigation and then engineering analysis before it can hold an administrative hearing to compel a recall. After that, NHTSA must go to court to enforce the order.
[Source: Detroit News]
Jason Siu began his career in automotive journalism in 2003 with Modified Magazine, a property previously held by VerticalScope. As the West Coast Editor, he played a pivotal role while also extending his expertise to Modified Luxury & Exotics and Modified Mustangs. Beyond his editorial work, Jason authored two notable Cartech books. His tenure at AutoGuide.com saw him immersed in the daily news cycle, yet his passion for hands-on evaluation led him to focus on testing and product reviews, offering well-rounded recommendations to AutoGuide readers. Currently, as the Content Director for VerticalScope, Jason spearheads the content strategy for an array of online publications, a role that has him at the helm of ensuring quality and consistency across the board.
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