Takata to pay around $1 billion penalty in defective air bag case
Justice Department announces criminal penalty against Japanese air bag maker
DETROIT – The Justice Department announced a criminal penalty against Japanese air bag maker Takata Corp. as part of its investigation into the company's defective air bag inflators.
The department scheduled a news conference at 1:30 p.m. Friday in Detroit to make the announcement.
Takata air bag inflators can explode with too much force, spewing metal shrapnel into drivers and passengers. At least 16 people have been killed worldwide and more than 180 injured. The faulty inflators have touched off the largest automotive recall in U.S. history involving 42 million vehicles and 69 million inflators.
Multiple news outlets have reported that Takata will pay around a $1 billion penalty. The FBI has been investigating allegations that the company deceived federal regulators and tried to cover up the air bag problems.
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