Gov’t to fine Takata $70M in air bag recall case

Takata Air Bag Recall Photo Courtesy safercar.gov

TOM KRISHER, AP Auto Writer

DETROIT (AP) — A person briefed on the matter says the U.S. government will fine Takata Corp. $70 million for lapses in the way it handled air bag recalls.

The person also says the National Highway Traffic Safety Administration will be able to add up to $130 million to the penalty if Takata doesn’t obey terms of a five-year agreement reached over the issue.

Takata’s air bag inflators can explode with too much force, spewing shrapnel into drivers and passengers. So far, about 23.4 million driver and passenger inflators have been recalled on 19.2 million U.S. vehicles sold by 12 automakers.

The person didn’t want to be identified because the agency hasn’t released details. It has scheduled a news conference for 2 p.m. to unveil the fines and agreement.