Takata Pleads Guilty In Air Bag Scandel

Lawyers for victims and their families suing air bag maker Takata Corp. and five automakers allege the car companies knew Takata’s air bags were dangerous yet continued to use them for years because the devices were inexpensive and they had a desire for uninterrupted revenues in the billions. “They were focused on the low price of Takata’s inflators and concerned that if they stopped using (them), they might not have a sufficient supply, which would prevent them from selling vehicles and generating billions of dollars in revenue,” said a status report filed Monday in Miami by lead plaintiff attorney Peter Prieo.The allegations against Honda, Toyota, Nissan, Ford and BMW were made on the same day the Japanese auto supplier will be in a Detroit courtroom to plead guilty to wire fraud and pay $1 billion in criminal penalties stemming from the company’s fraudulent conduct related to sales of defective air bag inflators.In the court filing, Prieo cited specific examples of evidence from Honda, Toyota, Ford, Nissan and BMW, including an allegation that Ford chose Takata’s inflators over the objections of Ford’s own inflator expert.


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