Senate shoots down criminal penalties for defect-hiding auto execs

July 22, 2015
A US Senate committee has rejected a few of the most strict provisions in a transportation-funding bill aimed at improving automotive safety.

Democrats had pushed for the biggest changes, including a clause that would have implemented criminal penalties and potential jail time for auto executives who are found guilty of failing to report known safety defects. The safety hardliners also wanted a requirement forcing used-car dealers to fix recalled vehicles before sale.

All of the most significant safety measures were shot down by Republican senators, with a few Democrats joining in the nay votes, according to The New York Times.

“Hiding these deadly defects with near impunity is what the industry has succeeded in doing,” said Senator Richard Blumenthal (D-Conn).

The legislators did approve a few modest changes to current regulations, including a $70 million fine cap — double the current limit — and a requirement for rental-car companies to fix defective vehicles among their fleets. The National Highway Traffic Safety Administration will also receive additional funding.

There is a chance that some of the more serious reforms will be reintroduced as the bill moves through the legislative process.

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