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Ford agrees to pay up to 5 million in fines to U.S. government for responding too slowly to recall
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Ford agrees to pay up to $165 million in fines to U.S. government for responding too slowly to recall

DETROIT (AP) — Ford Motor Co. will pay a fine of up to $165 million to the U.S. government for moving a recall too slowly and failing to provide accurate recall information.

The National Highway Traffic Safety Administration said in a statement Thursday that the civil penalty is the second largest in its 54-year history. Only the fine paid by Takata for faulty airbag inflators was higher.

The agency says Ford was too slow to recall vehicles with defective backup cameras and failed to provide the agency with complete information as required by the Federal Motor Vehicle Safety Act .

Ford agreed to a consent order with the agency that includes a $65 million payment and $45 million in expenses to comply with the law. An additional $55 million will be carried forward.

“Timely and accurate recalls are essential to keeping everyone safe on our roadways,” NHTSA Deputy Administrator Sophie Shulman said in the release. “When manufacturers fail to prioritize the safety of the American public and comply with their obligations under federal law, NHTSA will hold them accountable.”

Under the order, an independent third party will oversee the automaker’s recall obligations for at least three years.

Ford must also review all recalls over the past three years to ensure enough vehicles have been recalled and file new recalls if necessary.

The company also needs to review and change its recall decision-making process, improving how it analyzes data to detect safety defects in its vehicles.

Ford says it will invest the $45 million in advanced data analytics, a new document system and a new testing laboratory.

“We appreciate the opportunity to resolve this issue with NHTSA and remain committed to continually improving safety,” Ford said in a statement.