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Friday, January 20, 2017

Is Fiat Chrysler following Volkswagen’s Fate?

We hope not but it does not look good.  Already EPA has issued an violation notice to FCA.

The damage from misrepresentation on emissions is severe...going way past higher pollution levels for us to suffer.  As damaging, as debilitating is the further loss of corporate credibility.  Now consumers start to wonder who to trust?  What product to buy?  Is there any truth to claims made by and manufacturer?  

Already there exist a large chasm between sellers and buyers.  There is already plenty of government regulation to go around.  And it is hard enough to spend your conscious in selecting products and service.  Once duped, when do you trust again?

Telling the truth in politics, business and life is the cornerstone collaboration.  Hard to cooperate, and give more than you take, if you lose faith.  Don't lose faith, though.  As we've shown you many times over the last few years, for every had deal there is a hundred good ones.  We may trip and stumble but we persevere.  We move forward.  We win and they lose.  And, we learn valuable lessons each day, each step.  We right the wrongs, as we do here, and we move on.

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Earlier this week, the U.S. Environmental Protection Agency (EPA) issued a notice of violation to Fiat Chrysler Automobiles N.V. and FCA US LLC (collectively FCA) for alleged violations of the Clean Air Act for installing and failing to disclose engine management software in light-duty model year 2014, 2015 and 2016 Jeep Grand Cherokees and Dodge Ram 1500 trucks with 3.0 liter diesel engines sold in the United States. The undisclosed software results in increased emissions of nitrogen oxides (NOx) from the vehicles. The allegations cover roughly 104,000 vehicles. EPA is working in coordination with the California Air Resources Board (CARB), which has also issued a notice of violation to FCA. EPA and CARB have both initiated investigations based on FCA’s alleged actions.

“Failing to disclose software that affects emissions in a vehicle’s engine is a serious violation of the law, which can result in harmful pollution in the air we breathe,” said Cynthia Giles, Assistant Administrator for EPA’s Office of Enforcement and Compliance Assurance. “We continue to investigate the nature and impact of these devices. All automakers must play by the same rules, and we will continue to hold companies accountable that gain an unfair and illegal competitive advantage...."

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