Takata Executives Sold Shares Anticipating Bankruptcy Filing

More criminal charges surround those at Takata who profited from Takata bankruptcy insider information

Monday, March 4, 2019 - Serious criminal charges are being leveled against former executives at the Takata airbag company. Nine executives have been charged with insider trading involving the company's bankruptcy in 2017. The executives are charged with selling their shares in the company before it became public that a Takata bankruptcy filing would be imminent evading a large loss had they held on to the now-defunct company shares. It is estimated that Takata's bankruptcy left over $1 trillion yen in debt unpaid, an amount equivalent to 9 billion US dollars the Japan News reported recently.

Previously Takata was fined $1 billion and criminal charges filed alleging three Takata executives manipulated data that showed flaws in the Takata airbag leading to what is now estimated to be 25 deaths and hundreds of serious injuries. The Takata executive deception has led to the largest automotive recall in US history affecting most every motor vehicle manufactured between the years 2001 and 2015. According to the Washington Post, "Shinichi Tanaka, Hideo Nakajima, and Tsuneo Chikaraishi, all of Japan, were indicted on charges connected to deceiving automobile companies about known defects in order to continue selling products they knew failed safety tests." According to a plea agreement with the US Department of Justice (DOJ), Takata settled the criminal charges by pleading guilty to one count of fraud and paid a $25 million fine. Takata paid almost $1 billion as compensation to the automakers to replace existing airbags and to help those injured by the exploding airbag.

Millions of motorists are continuing to drive around with the potentially deadly airbag installed having ignored or been unaware of the Takata airbag recall. Approximately one million more vehicles are added every month in 2019 as the recall expands to include vehicles that regulators think are at less risk than others. Motor vehicles in high heat and humidity climates were recalled first. The Takata airbag recall hopes to be finished by 2020 although obstacles continue to hinder its completion. Takata airbags explode more easily and with greater force than expected, shattering the metal propellant cannister, and sending razor-sharp metal fragments directly into the face and neck of drivers and passengers.

Millions of motor vehicles are sitting in used car dealership lots and it is questionable whether or not these cars salespeople are complying with the recall. The recall is problematic for their business since a car can be in the shop for over a year before the airbag is actually replaced due to a shortage of funds, qualified mechanics, and the new replacement airbag itself. Complying with the Takata airbag recall would effectively put used car dealerships out of business and explaining the need for a vehicle to be recalled would most likely prevent the vehicle from being sold. This catch 22 is at no doubt partially responsible for the near 50% non-compliance rate for Takata airbag replacement.

More Recent Takata Airbag Lawsuit News:

• Automakers Are Starting to Pay Cash Incentives To Those Who Refer Takata Airbag Repair Business | 3/11/2019
• Used Car Dealerships Are Responsible For The Millions of Vehicles That Have Not Complied With The Takata Airbag Recall | 3/8/2019
• The NHTSA Recommends Airbag On/Off Switches in Some Vehicles | 2/28/2019
• More Reasons The Takata Airbag Recall is Not Succeeding | 2/24/2019
• Many Obstacles Stand In The Way of Effectively Replacing The Takata Airbag | 2/18/2019
• Millions of More Vehicles Were Added to the Takata Airbag Recall in February 2019 | 2/12/2019
• Takata Airbag Recall's Mixed Results | 2/5/2019
• 2018 and 2019 Hondas Are The Most At Risk For Airbag Theft | 1/31/2019
• January 2019 Kicks Off Another Expansion of the Takata Airbag Recall | 1/24/2019
• Automaker May Fail to Take Takata Airbag Recall Seriously | 1/21/2019
• General Motors Was Told That Takata Airbags Were Dangerous as Early as 1999 | 1/17/2019
• The Takata Airbag Recall Is Being Largely Ignored by Motor Vehicle Owners Ten Year In | 1/11/2019
• Ford Expands The Number of Vehicles Subject to the Takata Airbag Recall | 1/8/2019
• Toyota Offers Gift Card For Referring Takata Airbag Replacement Candidates | 1/2/2019
• General Motors Claims Their Takata Airbags Will Not Hurt You | 12/6/2018
• Add Mercedes-Benz to the Takata Airbag Recall That Continues To Be Ignored by Millions of Drivers | 12/3/2018
• Takata Airbag Disposal Presents Enoumous Challenge | 11/28/2018
• General Motors is Questioning The Takata Airbag Recall | 10/31/2018
• Takata Airbag Recall is Ever-Expanding | 10/26/2018
• Airbag Demand Spawns a New Criminal Enterprise | 10/16/2018
• Motor Vehicle Airbag Theft Increased 400 Percent in 2017 | 10/10/2018
• Countries With Hot Humid Climates Are in Great Risk For Takata Airbag Malfunctions | 10/3/2018
• Many Are At Fault For Takata Airbag Recall Failures | 9/28/2018
• An Urgent Motor Vehicle Recall Announcement To Owners of 2006 Ford Ranger and Mazda B-Series Pickups | 9/27/2018
• Auto Industry Whistle Blowers Can Save Lives | 9/26/2018
• Drivers May Be Ticketed For Failing To Comply With Motor Vehicle Recalls | 9/25/2018
• Congress Considering Automobile Safety Recall Bill | 9/22/2018
• The Twenty-Fifth Takata Airbag Death Has Been Reported | 9/19/2018
• Executives At Takata And The Major Automakers Knew Ammonium Nitrate Was Dangerous | 9/17/2018
• Recalling and Replacing All Takata Airbags MayTake Decades | 9/11/2018
• The NHTSA Is Under Fire For Mishandling The Takata Airbag Recall | 8/31/2018
• Highlights of The Takata Airbag Recall | 8/27/2018
• An Urgent Takata Airbag Recall Announcement To Owners of the 2006 Ford Ranger Pickup | 8/22/2018
• Takata's Airbag Recall is Expanding Worldwide | 8/16/2018
• Takata Airbag Deaths May be Underestimated | 8/13/2018
• Major Automakers May Have Played a Role in Choosing Takata Airbag Propellant Chemical | 8/9/2018
• Motor Vehicle Manufacturers Are Urged to Use Facebook to Contact Takata Airbag-Related Vehicle Owners | 8/7/2018
• Using Facebook and Twitter to Get The Word Out About Exploding Takata Airbags and the Takata Recall | 8/3/2018
• Takata Executives Could Have Prevented 24 Deaths Yet Did Nothing | 7/31/2018
• The Department of Justice Holds the NHTSA Responsible for the Slow Pace of Takata Airbag Recalls | 7/27/2018
• Class Action Lawsuits Force Automakers to Take Greater Recall Measures | 7/25/2018
• Certain Cars and Trucks At Extreme Risk in Takata Airbag Recall | 7/23/2018
• South Floridians Need to Have Their Vehicle's Airbags Replaced | 7/20/2018
• Lawsuits Accuse Major Automobile Manufacturers of Takata Airbag Fraud | 7/18/2018
• Takata Airbag Replacement Has Reached International Proportions | 7/16/2018
• Mazda Issues Emergency Takata Airbags Vehicle Recall | 7/11/2018
• A Whistleblower Courage Can Save Lives | 7/6/2018
• Takata Airbag Recall Obstacles | 6/30/2018
• Post A Takata Airbag Warning to Your Facebook Page | 6/27/2018
• Automakers Knew of Defective Takata Airbags Back in 2003 | 6/25/2018
• Floridians Have The Highest Risk From Exploding Takata Airbags | 6/20/2018
• Why You Should Check The Takata Airbag Recall Status Of Your Vehicle | 6/14/2018
• Concern Growing For Takata Airbag Recall Compliance | 6/12/2018
• Takata Airbag Vehicle Recall Going Too Slowly For Some | 6/6/2018
• Takata Employee Whistle Blower Triggers Vehicle Recall | 5/30/2018
• The Takata Airbag Recall May Be Failing | 5/28/2018
• Check to See if Your Vehicle is Being Recalled | 5/22/2018
• The Takata Airbag Recall is Taking Longer Than Expected | 5/17/2018
• An Outline Of The Takata Airbag Scandal | 5/14/2018
• The Ongoing Takata Airbag Recall | 5/9/2018
• Takata Airbags Auto Recall Update May 2018 | 5/6/2018
• Defective Takata Airbags Prompt a Recall and Lawsuits | 5/2/2018
• What Does The Takata Bankruptcy Mean For Consumers | 4/24/2018
• Takata Defective Airbag Vehicle Recall Update | 4/10/2018
• Takata Airbag Victims Could Be Thousands More Than Reported | 4/5/2018
• Takata Airbag Recall Update | 4/2/2018
• Takata Executives Knew of the Defective Airbags | 3/29/2018
• Takata Corporation Airbag Lawsuits | 3/26/2018
• Takata Airbag Injuries | 3/21/2018
• The Defective Takata Airbag | 3/13/2018
• A Summary of the Takata Airbag Recall | 3/5/2018
• Takata Class Action Lawsuits Continue to Grow | 6/26/2017
• Exploding Takata Airbag Canisters Causes Injuries and Death | 6/19/2017
• Takata Airbag Malfunction and Who Can Sue | 6/12/2017
• Takata Executives Indicted for Falsifying or Discarding the Damaging Information | 6/5/2017

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