TRW to pay a $5.1 million fine to settle U.S. price-fixing

Article by Christian Andrei, on July 31, 2012

A $5.1 million criminal fine will have to be paid by TRW Deutschland Holding GmbH -- a German subsidiary of TRW Automotive Holdings Corp. -- as it has agreed to enter a guilty plea to getting involved in a conspiracy on the prices of air bags, steering wheels and seatbelts, according to the Justice Department and the company.

The investigation of the Justice Department's Antitrust Division into this matter has resulted to settlements with six other companies. The European Commission has a parallel investigation. It’s possible that an employee at this subsidiary will face U.S. prosecution. The TRW subsidiary will plead guilty to one count of price-fixing in the U.S. District Court in Detroit.

According to the department, TRW and other companies have agreed to break up the market for seat belts, airbags and steering wheels so that they may be sold at elevated prices. TRW Automotive Chairman and CEO John Plant released a statement, asserting that the actions related to the DOJ settlement is in conflict with what TRW stands for and are not consistent with its policies.

As soon as the company learned about the probe, it has moved very quickly to cooperate with the DOJ (Justice Department) so that this matter could be brought to a resolution. Last year’s sales reached $16.2 billion. Six other firms have entered a guilty plea in this matter. These six companies are Swedish auto parts company Autoliv, Fujikura Ltd., Furukawa Electric Co., Denso Corp., Yazaki Corp. and G.S. Electech. They will be paying over $785 million in criminal fines.

Topics: trw

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Back in 2009, Nissan first introduced the Nissan Leaf, the company’s first all-electric vehicle. LEAF stands for Leading Environmentally-friendly Affordable Family car and this particular EV has been considered as...
by - December 3, 2016
In the minivan segment, the 2017 Chrysler Pacifica is already impressive in terms of fuel economy figures – as rated by the United States Environmental Protection Agency. In fact, the...
by - December 2, 2016
Having a blacked-out Bentley Mulsanne Speed is already menacing by itself but by naming it as the Bamford X, it became all the more imposing. This model was made by...
by - December 2, 2016
We have good news for those who are waiting for the latest version of the Mazda CX-5 compact crossover. It was just unveiled in November at the 2016 Los Angeles...
by - December 2, 2016
Those familiar with racing know that Marco Wittmann’s win during the 2016 Deutsche Tourenwagen Masters held last May was noteworthy as it was his second title in four seasons. In...
by - December 2, 2016
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