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Honda Hit with $70M from Feds

1459 Views 10 Replies 8 Participants Last post by  Speedjerk

Honda has agreed to pay two separate $35 million fines to the National Highway Traffic Safety Administration for under-reporting death and injury claims.

The first fine is the result of Honda failing to notify NHTSA of 1,729 claims of injury or death that took place in its vehicles. The second fine is for Honda’s failure to report certain warranty claims and claims under customer satisfaction campaigns through the same time period.

Federal law requires all automakers to submit any potential safety concerns to NHTSA.

Along with the fines, Honda has agreed to comply with NHTSA oversight which will make sure that Honda develops new written procedures for compliance with early warning report procedures, train certain personnel at least every year and complete two third-party audits of the automaker’s compliance with its reporting obligations.

SEE ALSO: Honda Admits to Under-Reporting Deaths and Injuries

The Japanese brand cites three key areas where its reporting system failed: Data entry errors, coding errors and narrow regulatory interpretation. Honda says that it has already made a number of steps to correct these issues including correcting the computer programming issue, changing policies, implementing new training, enhancing oversight and reprogramming warranty and property claims information.
For more information on this story, Honda Hit with $70M Fine from Feds and much more please go to AutoGuide.com.
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Seems more people care that Cadillac dropped prices than Honda covering up deaths and denying warranty claims........ cool
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Honda is NOT GM, there will be nobody to burn at the stakes......proceed.........
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Honda is NOT GM, there will be nobody to burn at the stakes......proceed.........
I would certainly think this is important as GM gets thrashed over iginiton switches, cost cuts, quality concerns, warranty issues, etc. This is a nice article to discuss the nature of reliability and how it relates to the 21st Century Automobile. These stories have become very common and it it is coming to a head. Either things need to change or JD Power should just give it up and say screw it there is no initial or long term quality to vehicles anymore.

This is an Industry problem that needs to be addressed. The company I work for has to be ISO/TL9000 certfied and we get audited for processes both with our product and service business. If we fail an audit we lose our certification and no more big business with Fortune 500's

Why are small/medium sized businesses put under such scrutiny when larger corporations who produce products that can kill are able to get by without serious oversight.
It seems as a barrier to entry for small upcoming enterprises. But who cares its only Honda.... and GM and Ford and Toyota and VW and Nissan etc.
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I say: Nail 'em to the wall. It seems these guys and Toyoduh always seem to get a pass while GM gets crucified.
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Seems more people care that Cadillac dropped prices than Honda covering up deaths and denying warranty claims........ cool
Way to go putting words in their mouth. They never said "covering up" or "denying".

It was simply underreported/misreported. What that means exactly cannot be ascertained from the written piece above. It's just as likely an oversight, for which Honda was strong armed into paying fines that might not be worth their time in litigation. Since when does a government ever side against itself? This does not mean Honda was negligent or sly or that there is even a safety issue with their products. They could have simply been misinformed for which the government took full advantage.
where are the congressional hearings, all the media articles destroying the brand
Way to go putting words in their mouth. They never said "covering up" or "denying".

It was simply underreported/misreported. What that means exactly cannot be ascertained from the written piece above. It's just as likely an oversight, for which Honda was strong armed into paying fines that might not be worth their time in litigation. Since when does a government ever side against itself? This does not mean Honda was negligent or sly or that there is even a safety issue with their products. They could have simply been misinformed for which the government took full advantage.
1729 cases of not reporting death or injury in there product but no safety issue, Everyone always defends the Japanese's car makers but destroys the domestics car makers.
Hope their ability to program and code vehicle electronics are better than their data entry and coding effort for keeping and processing records.
1729 cases of not reporting death or injury in there product but no safety issue, Everyone always defends the Japanese's car makers but destroys the domestics car makers.
Again, we cannot assume or even guess given the information. Of the 1729 cases, who knows how many are serious and of the many millions of cars sold, that number seems infinitesimal. There may only be one death.

Keep things in perspective. Ironically, this is a hit piece on Honda.
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