Japanese Car Parts Providers Busted For $5 Billion Price-Fixing Collusion
A few days ago we noted a major Senate demand of the Treasury Secretary that foreign nations' currency manipulations should be punished (supported by American Manufacturers Associations). Today we find out that Eric Holder and his DoJ crew have found that nine Japanese car parts makers have colluded to raise prices. As part of the scheme, more than $5 billion in auto parts were sold to U.S. car manufacturers and installed in cars sold in the United States and elsewhere. The companies will pay more than $1.6bn in criminal fines. Seems like a small price to pay for the Japan being allowed to devalue its currency boosting its own car exports?
- *CONSPIRACY AFFECTED MORE THAN $5 BILLION IN PARTS, HOLDER SAYS
- *AUTO PARTS PROBE HAS RESULTED IN $1.6 BILLION IN CRIMINAL FINES
- *AUTO PARTS SCHEME INVOLVED MORE THAN A DOZEN CONSPIRACIES: U.S.
- *AMERICANS PAID MORE FOR CARS AS RESULT OF CONSPIRACY, U.S. SAYS
The Justice Department says nine Japanese companies and two of their executives will plead guilty and pay millions in criminal fines for conspiring to fix the prices of products sold to automakers.
As part of the scheme, more than $5 billion in auto parts were sold to U.S. car manufacturers and installed in cars sold in the United States and elsewhere.
The department says the affected parts were sold to Chrysler, Ford and General Motors and U.S. subsidiaries of Honda, Mitsubishi, Nissan, Toyota and Subaru.