AutomobileNews

52 Automobile Components Manufacturers Agrees to Pay California $23 Million over Bid-rigging

A gaggle of 52 automobile parts manufacturers has agreed to pay California $23 million as a part of a decade-old inquiry into antitrust law breaches originating from illegal bid-rigging, the state said Wednesday.

Following a probe by the U.S. Justice Division that started about ten years ago, 46 corporations agreed to pay a total of almost $3 billion in penalties while pleading guilty to price-fixing and bid-rigging in the automobile parts sector.

Over 22 million automobiles are registered in California, the most of any U.S. state.

The largest California deal is with Japan’s Denso for $4.25 million, California Attorney General Xavier Becerra mentioned in an announcement.

In 2013, the Justice Division stated international price-fixing conspiracies affected over $5 billion in automobile parts utilized in U.S. vehicles; in total, more than 25 million vehicles bought by American consumers have been affected.

Denso pleaded guilty to price-fixing back in 2012 and agreed to pay a $78 million fine to settle a Justice Division inquiry. A total of 32 auto components executives pleaded guilty, along with several Denso delegates.

Law enforcement authorities in the U.S. and elsewhere have introduced price-fixing cases associated with seat belts, radiators, windshield wipers, air-conditioning systems, power window motors, and energy steering parts.

A separate deal has been reached for as much as $1.2 billion covering auto purchasers who sued saying the price-fixing and bid-rigging had caused millions of consumers and companies from across the nation to pay more for some new or leased automobiles and replacement components.

Tags

Bethany Pike

Bethany is working as the lead of the automobile column, and she is a student of physics and a very knowledgeable person. She is one of the youngest person working here. She is a total bookworm and loves spending her leisure time in the library reading books of all genres. The best part about her is she believes in manually searching out information for her articles, which makes them unique.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Close