TECH - Cummins Faces Hefty $2B Penalty And Over 600K Recalls In Ram Trucks Emissions Violation Case | Benzinga
In a landmark settlement, Cummins Inc. (NYSE:CMI) is ordered to recall 600,000 Ram Trucks. The engine manufacturer has been implicated in an emissions cheating scandal, leading to a record-breaking $2 billion penalty.
What Happened: The Department of Justice (DOJ) revealed on Wednesday details of a December settlement involving Cummins, AP News reported. The firm is accused of evading emissions testing by employing devices that can circumvent or disable emissions controls.
The agreement requires a recall of 600,000 Ram trucks fitted with Cummins diesel engines carrying the illicit engine control software. Cummins is set to pay a civil penalty of $1.67 billion, the highest ever under the Clean Air Act, in addition to $325 million for remedial actions. This brings the total penalty to over $2 billion.
The U.S. Justice Department, the Environmental Protection Agency, the California Air Resources Board, and the California Attorney General ...