Takata To Pay $1 Billion In Settlement Over Airbag Scandal
Takata pleaded guilty and agreed to pay $1 billion in a settlement with the Justice Department over its airbags that were prone to rupture. Three Takaya executives have been charged with conspiracy.
KELLY MCEVERS, HOST:
The Takata Corporation is pleading guilty to criminal wrongdoing over its defective airbags which have been linked to deadly accidents. The company has agreed to pay $1 billion in fines, and three former executives have been indicted. NPR's Sonari Glinton reports.
SONARI GLINTON, BYLINE: Sixteen people have died, and at least a hundred others have been injured in accidents involving Takata airbags. Here's how. Now, when an airbag goes off, it's started by a small explosion, so the idea is that the explosion is just big enough to blow up the giant pillow that protects you in an accident.
The problem with the Takata airbags is that the explosion was too powerful and can spray out these sharp metal pieces into the cabin of the car.
(SOUNDBITE OF ARCHIVED RECORDING)
BARBARA MCQUADE: Takata has admitted to a scheme to defraud its customers by manipulating test data regarding the performance of its airbag inflators.
GLINTON: That's the U.S. attorney for Eastern Michigan, Barbara McQuade, announcing the settlement of the largest automotive recall ever.
(SOUNDBITE OF ARCHIVED RECORDING)
MCQUADE: From at least the year 2000, Takata knew that certain inflators - that's the device that's in the airbag that makes them inflate - were not performing as they were supposed to.
GLINTON: Three former executives face possible jail time, though the case is far from over. Millions of air bags have yet to be replaced.
SEAN KANE: Meaning we're going to continue seeing deaths and injuries from these Takata air airbags as long as I'm doing this work.
GLINTON: Sean Kane is a safety advocate and consultant. He says there's an incentive for companies to cheat, including on safety. And the government just can't keep up.
KANE: And yet, we're seeing unprecedented technologies being introduced in cars at such a rapid rate. In today's world, much of the features on today's cars aren't even subject to regulations. And yet we're putting them into cars faster than people even know how to use them.
GLINTON: Drivers can determine if their car has a defective airbag or is under recall at the government website recalls.gov. Sonari Glinton, NPR News.
Copyright © 2017 NPR. All rights reserved. Visit our website terms of use and permissions pages at www.npr.org for further information.
NPR transcripts are created on a rush deadline by an NPR contractor. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.