Â (Photo: Fiat Chrysler Automobiles )
Fiat Chrysler Automobiles (FCA) accepted a 105 million-dlr penalty for failing to meet US federal requirements to repair vehicles with safety defects.
The US-Italian auto group will have to buy back some of the vehicles and will have to submit to "rigorous" federal oversight, the National Highway Traffic Safety Administration (NHTSA) said in a statement.
On July 2, the NHTSA outlined problems with 23 FCA vehicle safety recalls covering 11 million defective vehicles. FCA has admitted violating the country's Safety Act with regard toÂ effective and timely recall remedies, notification to vehicle owners and dealers and notifications to NHTSA, the agency said.
“Today’s action holds Fiat Chrysler accountable for its past failures, pushes them to get unsafe vehicles repaired or off the roads and takes concrete steps to keep Americans safer going forward,” US Transportation Secretary Anthony Foxx said. “This civil penalty puts manufacturers on notice that the Department will act when they do not take their obligations to repair safety defects seriously.”
FCA must pay a 70 million dlr cash penalty, which is in line with the 70 million dlr civil penalty imposed on competitor Honda in January forÂ failing to report deaths, injuries, and certain warranty claims to the federal government.
In addition to the fine, FCA must spend at least 20 million dlrs on meeting performance requirements outlined in the ruling.