Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Japanese spark plug maker agrees to pay $52.1M fine in U.S. price fixing probe, (Aug 20, 2014)

By Jeffrey May, J.D.

The Department of Justice has filed its first charges involving price fixing of spark plugs in its long-running investigation into anticompetitive conduct in the automotive parts industry. Yesterday, the Justice Department announced that Japanese automotive parts manufacturer NGK Spark Plug Co. Ltd. has agreed to plead guilty and to pay a $52.1 million criminal fine for its role in a conspiracy to fix prices and rig bids (U.S. v. NGK Spark Plug Co., Ltd, Criminal No. 2:14-cr-20494).

A one-count felony charge was filed against NGK on August 19 in the federal district court in in Detroit on August 19. The government alleged that NGK conspired to fix prices and rig bids for spark plugs, standard oxygen sensors, and air fuel ratio sensors installed in cars sold to automobile manufacturers. These auto makers included DaimlerChrysler AG, Honda Motor Co. Ltd., and Toyota Motor Corp., among others, according to the Justice Department. NGK's participation in the alleged conspiracy lasted for more than a decade from January 2000 until about July 2011.

NGK is the 28th company to have pleaded guilty or agreed to plead guilty in the ongoing investigation, the Justice Department noted. In addition, 26 executives have pleaded guilty or agreed to plead guilty in the probe.

According to a company statement, NGK has cooperated fully with the Justice Department's investigation since July 2011. The company also noted that, since learning of the investigation, it has reviewed and enhanced its compliance systems, including in-house training for antitrust laws, to prevent a recurrence.

Companies: NGK Spark Plug Co. Ltd.

News: Antitrust AntitrustDivisionNews