The National Highway Traffic Safety Administration (NHTSA) said on Sunday that it is charging Chrysler a fine of $105 million due to 23 incomplete safety recalls involving 11 million vehicles. The fine is the highest imposed on an automaker for recall violations exceeding that of Takata's $70 million fine for its faulty airbags.
Chrysler failed to address 23 safety recalls involving defective ignition switches, faulty axles, and electrical problems. The automaker also failed to properly notify the vehicle owners of their car's defects. It also refused to provide the data requested by the federal agency.
"We're sending very sharp signals to the industry that we're not playing around," Transportation Secretary Anthony Foxx said in an interview with ABC News. "If you violate the law, if you don't do recalls properly, you're going to get called on it."
The NHTSA has been critical on the way that Chysler handle its recalls for several years, according to CNNMoney.
"This is a very good example of how not to do a recall. How not to do 23 recalls, in fact," Foxx added. "There's no way to defend what Fiat Chrysler was doing."
People briefed on the announcement told the New York Times that Chrysler would sign the agreement with the NHTSA on Monday. The sources added that the automaker has agreed to hire an independent monitor to oversee the administration of the recalls.
Chrysler said in a statement that it accepts the "consequences with renewed resolve to improve our handling of recalls and re-establish the trust our customers place in us."
