The National Highway Traffic Safety Administration (NHTSA) has issued a $24 million award to a whistleblower who provided critical information about safety defects in Hyundai and Kia vehicles. This award is historic, marking the first-ever payout under the Motor Vehicle Safety Whistleblower Act, a program established by Congress in 2015 to encourage individuals to report automotive safety violations that put consumers at risk.
The whistleblower’s information led to the exposure of significant design flaws in Hyundai and Kia vehicles that posed serious safety risks to drivers, passengers, and the general public. The disclosures contributed to government investigations and resulted in financial penalties against the automakers for violations of federal vehicle safety laws.
Under the Motor Vehicle Safety Whistleblower Act, individuals who report safety violations to the Department of Transportation (DOT) or NHTSA may be eligible for financial compensation. The program authorizes awards of up to 30% of the financial penalties collected from companies found to be in violation of the Vehicle Safety Act or related federal regulations.
This case demonstrates the impact of whistleblower disclosures in protecting public safety and holding automakers accountable when they fail to comply with federal safety laws. By encouraging individuals with insider knowledge to come forward, the NHTSA whistleblower program plays a vital role in ensuring vehicle manufacturers follow proper safety standards.
If you have information that may qualify for an NHTSA whistleblower award, contact our office for a free consultation to discuss your legal options.
This article is for informational purposes only and should not be considered legal advice.
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