Car parts maker Takata Corp. pleaded guilty to charges it concealed airbag defects and agreed to pay $1 billion in settlement in the United States, the Associated Press reported on Monday. The plea was accepted by federal judge in Detroit.
The Japanese company is set to pay $850 million to automakers who used its defective airbags, as well as $25 million for the criminal penalty.
Earlier this month, three former Takata executives were indicted on multiple charges of conspiracy and wire fraud by a federal grand jury. US prosecutors are now calling for them to be extradited to face the charges.
The defective airbags resulted in at least 16 deaths, while about 29 million vehicles equipped with Takata airbags have been recalled. The company stated it will record a $863 million loss due to the agreement in the US.
