Ford Motor Company agreed to pay a penalty of $165 million to the United States government for failing to comply with recall demands, the National Highway Traffic Safety Administration (NHTSA) said in a statement on Thursday, adding that this is the second-largest civil penalty in its history.
According to NHTSA, the consent order, which Ford agreed to, includes an initial payment of $65 million, and $45 million for performance obligations, while an additional $55 million will be deferred. In addition, Ford will have to review all recalls it has conducted over the past three years to be sure they have been done properly and, if necessary, issue new recalls. The automaker will also be required to make the appropriate changes to its recall decision-making process.
"Timely and accurate recalls are critical to keeping everyone safe on our roads," NHTSA Deputy Administrator Sophie Shulman stressed.