Category Archives: litigation

Japanese Price Fixing Scandal Expands Again. Now Toyo

Posted on 26 November 2013 by Ken Zino

Diogenes’ search for an honest man would be futile in Japan if the latest, but by no means the last, price fixing scandal is indicative of Asian scorn for western laws. Including Toyo, 22 companies and 26 executives have been charged in the Justice Department’s ongoing investigation into the automotive parts industry. All 22 companies have either pleaded guilty or have agreed to plead guilty and will pay more than $1.8 billion in criminal fines. Of the 26 executives, 20 have been sentenced to serve time in U.S. prisons or have entered into plea agreements calling for prison sentences. Continue reading →

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Carbon Black Maker Cabot Corporation Fined by EPA

Posted on 21 November 2013 by Ken Zino

Boston-based Cabot Corporation, the second largest carbon black manufacturer in the United States, will pay a $975,000 civil penalty and spend an estimated $84 million on technology to control harmful air pollution, resolving alleged violations of the New Source Review (NSR) provisions of the Clean Air Act (CAA). Continue reading →

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Clean Diesel Technologies to pay $1.9 million to ex CFO

Posted on 21 October 2013 by Ken Zino

OSHA’s investigation found that the company violated the whistleblower provisions of the Sarbanes-Oxley Act when it wrongfully terminated the former CFO for warning the board of directors about ethical and financial concerns raised by a proposed merger. Continue reading →

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Toyota Wins Unintended Acceleration Case

Posted on 11 October 2013 by Ken Zino

In the first and by no means the last product liability case concerning the design of Toyota vehicles, the jury rejected the claim of the family of Noriko Uno, who alleged that her accident would not have happened if her vehicle had been equipped with brake override. Continue reading →

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Nine Japanese Auto Parts Firms Guilty of Price Fixing

Posted on 26 September 2013 by Ken Zino

Including those announced today, 20 companies and 21 executives have been charged in the Antitrust Division’s ongoing investigation into price fixing and bid rigging in the auto parts industry, in a scandal that keeps on growing in size and raises serious systemic corruption issues for some of the largest and respected Japanese firms. AutoInformed predicts more indictments are coming. Continue reading →

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Panasonic Exec Indicted in Toyota Price Fixing Scam

Posted on 24 September 2013 by Ken Zino

A federal grand jury in Detroit has indicted a Panasonic Automotive Systems executive for his role in an international conspiracy to fix prices of switches and steering angle sensors sold to Toyota. Continue reading →

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CITGO Fined for Pollution

Posted on 20 September 2013 by Ken Zino

CITGO Petroleum Corporation will pay a $737,000 civil penalty and start projects to reduce harmful air pollution in a deal cut by the Department of Justice and EPA with the Houston-based, Venezuelan-owned company. Continue reading →

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Two Fujikura Executives Indicted for Price Fixing

Posted on 20 September 2013 by Ken Zino

A federal grand jury in Detroit returned an indictment against two Fujikura Ltd. executives for their roles in an international conspiracy to fix prices of auto parts used in automotive wire harnesses sold to Subaru and installed in U.S. cars. Continue reading →

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Total to Pay $8.75 Million for Continued Refinery Violations

Posted on 20 September 2013 by Ken Zino

Total Petrochemical USA will pay an $8.75 million fine for failing to comply with the terms of a 2007 settlement with the United States that resolved alleged violations of the Clean Air Act at its Port Arthur, Texas, refinery. Continue reading →

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G.S. Electech Executive Indicted for Price Fixing

Posted on 18 September 2013 by Ken Zino

The criminal charge was the first to be filed in Kentucky where Toyota has extensive operations as part of an ongoing Department of Justice investigation into anti-competitive conduct in the automotive parts industry. Continue reading →

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Asian Auto Lending Discrimination in Los Angeles?

Posted on 9 September 2013 by Ken Zino

It is common practice for banks and other lenders to set a base interest rate or so-called “buy rate” and then for the auto dealership to “mark up” the interest rate to the final rate the customer pays on the loan for the car. The complaint alleges that Union Auto Sales charged higher interest rate markups to non-Asian customers from at least 2004 to 2006, which constitutes lending discrimination. Continue reading →

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Big West Oil Fined $18 Million for Clean Air Act Violations

Posted on 23 August 2013 by Ken Zino

Big West Oil agreed to pay a $175,000 penalty and to spend $18 million to install emission controls at its refinery in North Salt Lake, Utah, the Department of Justice and the U.S. Environmental Protection Agency announced today. Big West Oil will also invest $253,000 to improve the monitoring and management of potential releases of hydrofluoric acid at the facility. Continue reading →

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DOJ Antitrust Suit Opposes American – US Airways Merger

Posted on 19 August 2013 by Ken Zino

The Department of Justice filed a civil antitrust lawsuit opposing the proposed $11 billion merger between US Airways and American Airlines. DOJ said that the merger would result in world’s largest airline, and would “substantially lessen competition for commercial air travel in local markets throughout the United States and result in passengers paying higher airfares and receiving less service.” Continue reading →

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Florida Fuel Company Owner Indicted for Fraud

Posted on 15 August 2013 by Ken Zino

A Florida-based airline fuel supply company and its former owner and operator were indicted on charges of participating in a scheme to defraud Illinois-based Ryan International Airlines, according to the Department of Justice. Continue reading →

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JPMorgan Chase Employees Charged With Financial Fraud

Posted on 14 August 2013 by Ken Zino

“Our financial system has been hurt in recent years not just by risky bets gone bad, but also, in some cases, by criminal wrongdoing,” opined Attorney General Holder. Critics maintain Holder has done little to prosecute financial fraud at the ratings agencies and on Wall Street that led to the collapse of the U.S. economy, cut American wealth in half, and created the highest rates of unemployment since the Great Depression that is still hurting the American middle class. Continue reading →

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