Japanese Suppliers Nailed With $740 Million In Fines And Prison Time

[J Reinhardt]

So is this is why my dealer wanted to charge me $150 for one coilpack.

It's a bad day to be Hitachi Automotive Systems, Mitsubishi Electric or one of several other Japanese automotive parts suppliers. Nine companies today were hit with a combined $740 million in fines as part of a wide-ranging price fixing scheme, and their executives are headed to prison.

http://jalopnik.com/japanese-suppliers-nailed-with-740-million-in-fines-an-1403734890

Does anyone else believe that Mitsubishi, Hitachi and the other companies did this on purpose knowing that the profit they will make will outweigh the amount they would be fined?

[ashwinr1]

It is just that sometimes companies get greedy without thinking about the consequences! Such temptations are always there in businesses, good companies never yield to those temptations!

[David]

WOW 1.6 Billion in total fines covering the 30 different parts sold to Asian and U.S. car manufacturers, including starter motors, alternators, and ignition coils.

They should have to pay way more than that, double or tripple what they stole to really make this an impact.

[J Reinhardt]

WOW 1.6 Billion in total fines covering the 30 different parts sold to Asian and U.S. car manufacturers, including starter motors, alternators, and ignition coils.

They should have to pay way more than that, double or tripple what they stole to really make this an impact.

Exactly. I'm pretty sure the profits they made more than cover the amount of the fine. Plus, when the executives get out prison (most likely white collar prison) they'll still have their fortune as well.

[Drew Dowdell]

well... Mitsubishi didn't make that kinda money... they'd be lucky if they make any money at all

[J Reinhardt]

well... Mitsubishi didn't make that kinda money... they'd be lucky if they make any money at all

Mitsubishi Motors yes, they probably didn't turn a profit this year. However the Mitsubishi Group makes tons of money. They're US profit from 2010 was $7.2 billion.