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US to fine Toyota

Published:Wednesday | April 7, 2010 | 1:05 PM

United States transport regulators are seeking to fine Toyota $16.4 million for failing to take adequate steps to report the problems with the break padals in cars it produces.



The proposed civil penalty would be the largest imposed on a carmaker by the National Highway Traffic Safety Administration.



Toyota has two weeks to decide whether to challenge the decision.



According to the US transportation secretary, Ray LaHood, the agency has found proof that Toyota failed to live up to its legal obligations.



He says the carmarker knowingly hid a dangerous defect for months from US officials and did not take action to protect millions of drivers and their families.



Carmakers must tell regulators within five business days of finding a flaw in one of their products, but Toyota did not do so until four months later.



Toyota has recalled 2.3 million of its vehicles in the US since January over problems with break padels.