Hino Motors Settles Emissions Fraud for $1.6 Billion

Hino Motors, a subsidiary of Toyota, has agreed to plead guilty and pay over $1.6 billion to settle allegations of emissions fraud with U.S. authorities. The settlement, one of the largest in EPA history, comes after Hino submitted false applications for engine certifications, allowing it to sell over 110,000 diesel engines with altered emissions test data. The deal includes a $521.76 million criminal penalty, along with civil penalties totaling $679 million to both federal and California state authorities. Hino will also face a five-year probation period, during which it is barred from importing its diesel engines into the U.S. and must implement a compliance program. Additionally, the company will have to recall trucks with non-compliant engines and invest $155 million in replacing other engines to mitigate excess emissions. This case highlights the increasing scrutiny on corporate compliance with environmental regulations.