Will Toyota Be Number One in Criminal Violations Under the TREAD Act?

Toyota’s announcement that it is the subject of a federal criminal probe in the relay rod recalls begs a question: Will it be the first automaker to be criminally prosecuted under the Transportation Recall Enhancement, Accountability and Documentation (TREAD) Act?

Today, the automaker released – via a statement to the Tokyo Stock Exchange – the news that a federal grand jury in New York had subpoenaed the company on June 29 for documents regarding relay rod failures.

Toyota said:  “The company and our subsidiaries will cooperate with the investigation with sincerity.”

Toyota: Honesty is More Than Just a Word

When Toyota starts talking about honesty – as they did, while paying a $16.4 million fine for violating the recall regulations – we start patting down the data. An interesting snippet floated by yesterday. As our readers know, manufacturers are required to file Early Warning Reports every quarter – information about legal claims, warranty data, production numbers, deaths and injuries – to help NHTSA spot emerging defect trends.

This regulation, enacted as part of the Transportation Recall Enhancement Accountability and Documentation Act with great speed and good intentions, has had its share of problems. There was the four-year battle over what information would be public. (The agency and safety advocates envisioned a largely public data system; the manufacturers had an entirely different idea. Guess who won?). Then there has been the suggestion that EWR has not actually been useful as a statistical canary in a coalmine. Now we’re going to have to raise a few questions about coding.

Time for Another Toyota Timeliness Query

When NHTSA went after Toyota with a $16.4 million stick for failing to recall sticking accelerator pedals within the five-day regulatory time limit, Attorney John Kristensen couldn’t help notice the parallels between the automaker’s mañana attitude toward U.S. recalls in the 2010 pedal campaign and in a 2005 recall of defective relay rods.

Today, Kristensen, an attorney with The O’Reilly||Collins Law Firm asked NHTSA administration to launch a Timeliness Query into Recall 05V389 to replace defective steering relay rods in Toyota pickups and 4Runners.

(And the thud you just heard was that other shoe dropping we mentioned back in October. See Troubles Mount in Toyotaville.)

According to a chronology of the sticking CTS accelerator pedals campaigns, Toyota launched a silent recall for the in UK and Ireland in June 2009, followed by a full EU Technical Service Bulletin in September. Toyota didn’t announce a U.S. recall of the same component until January 21, 2010. Toyota said that the UK and Ireland got the fix first, due to the unique combination of the British weather and the right-hand drive configuration:

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