The feds have reached a $1.2 billion settlement with Toyota Motor Corp. after a four-year criminal probe into the giant Japanese automaker's handling of a spate of sudden accelerations in its vehicles.
Attorney General Eric Holder, Transportation Secretary Anthony Foxx and Manhattan US Attorney Preet Bharara were expected to announce the settlement Wednesday morning.
The investigation focused on whether Toyota was honest in reporting problems related to the unintended acceleration troubles, which led to multiple accidents and fatalities.
Toyota faces hundreds of lawsuits over the acceleration problems, which gained public attention after the deaths of a California highway patrolman and his family that was reportedly caused by the unintended acceleration of his Lexus, which is made by Toyota.
Starting in 2009, Toyota issued recalls for more than 10 million vehicles for various problems, including faulty brakes, gas pedals and floor mats. From 2010 through 2012, Toyota paid fines totaling more than $66 million for delays in reporting unintended acceleration problems.
The National Highway Traffic Safety Administration never found defects in electronics or software in Toyota cars, which had been targeted as a possible cause by many, including some experts.
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