Late Wednesday, U.S. officials revealed a $1.6billion deal with Toyota subsidiary Hino Motors to settle allegations that it misled regulators about how much emissions were emitted by its diesel engine.
According to the Environmental Protection Agency, Hino used manipulated emissions test data in order to obtain approval to import more than 110,00 diesel engines into the U.S. Most of these were installed on heavy-duty Hino trucks.
In a press release, Merrick Garland, the Attorney General, said that as part of this deal, Hino would plead guilty for engaging in a criminal conspiracies to mislead consumers and regulators, violate environmental protection laws, and endanger public health.
Hino and U.S. regulators, who have strict standards for vehicle emissions, have worked out civil and criminal remedies worth more than $1.6 Billion.
According to Reuters, the deal includes a criminal penalty of $521.76 millions, civil penalties of $442.5millions to U.S. Authorities and $236.5millions to California.
In a press release, acting EPA Administrator Jane Nishida stated that “Hino’s actions directly undermined EPA’s program to protect public health from air pollution.”
The settlement proposal is subject to approval by a federal district judge in Michigan.
Dawn Ison, US Attorney for the Eastern District Michigan, said that “corporate crimes like these threaten the health and safety of innocent Americans as well as our environment.”
According to the EPA, the deal includes a five year probationary period during which Hino is prohibited from importing any diesel engines that it has produced into the United States. It also implements a compliance and ethics program.
Hino must also recall trucks with engines that do not meet emissions standards, and spend $155 million on marine and locomotive engine replacements in the U.S.A.
