Toyo Tire to pay $120 million fine and plead guilty to price-fixing charge

Article by Anita Panait, on November 27, 2013

Toyo Tire & Rubber Co. has reached an agreement to plead guilty to price-fixing charges in the United States as well as pay a $120-million criminal fine for its function in conspiracies involving auto parts, according to the US Justice Department. Toyo has also reached an agreement to cooperate with the probe while it continues, the department said in a statement. Toyo supplied auto anti-vibration rubber parts to Japanese companies Toyota Motor Corp., Nissan Motor Co. and Fuji Heavy Industries Ltd. The charges, which were filed in US District Court in Toledo, Ohio, alleged that Toyo and co-conspirators are involved in the price-fixing conspiracy from March 1996 until at least May 2012.Toyo likewise agreed to plead guilty to fixing prices of constant velocity joint boots sold to GKN Plc and to cooperate with the investigation.

The boots protect cars' joints from contaminants. There have been auto-parts price-fixing investigations not only in the US, but also in other parts of the world like the European Union and Japan. In the US alone, 22 companies and 26 executives have been charged in the ongoing probe, including Toyo.

According to the government, all 22 companies have either pleaded guilty or have agreed to plead guilty and will pay over $1.8 billion in criminal fines. Twenty of the 26 executives have been sentenced to US prisons or have entered into plea deals entailing significant prison sentences. Toyo's involvement in the latest case started to come up in a separate prosecution disclosed last week. This investigation is still ongoing.

If you liked the article, share on:

Pin It

Comments

Recommended

South Korean car company SsangYong recently revealed sketches of their upcoming SUV. We’re not always impressed by Korean car designs, but this one looks quite promising. Yup, it is the...
by - March 26, 2017
Twenty-eight years after the company was first launched by Toyota, which was initially targeted to the United States market only, Lexus has already made its way to over 70 countries....
by - March 26, 2017
Last year was probably Porsche’s best year ever in terms of sales. Their factory in Stuttgart delivered 237,778 cars in total, which represents a six percent increase compared to the...
by - March 26, 2017
Lamborghini has disclosed that it is looking into the possibility of releasing electric vehicles. With the Volkswagen Group revealing that it will be releasing electric vehicles within several years, there...
by - March 25, 2017
Daimler AG, through its Smart division, has disclosed that its two electric models, the Smart ForTwo and the Smart ForFour are now open for orders in Germany. Official market launch...
by - March 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries