(Bloomberg) – Takata Corp. pleaded guilty to one count of wire fraud for misleading automakers about the safety of its exploding air bags, which have been linked to at least 17 deaths worldwide.
The Tokyo-based company entered its formal plea in Detroit federal court Monday, six weeks after reaching a $1 billion deal with the U.S. Justice Department. The Takata products have been the subject of the biggest product recall in history, expected to cover more than 100 million air bags.
Takata admitted to hiding the deadly risks of its exploding air bags for about 15 years in its plea agreement with the U.S. The company also has agreed to pay a $25 million fine, plus $125 million in compensation for accident victims and another $850 million to reimburse automakers for recall costs.
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