The National Highway Traffic Safety Administration has levied a $125,000 fine against Southern Honda Powersports following an investigation into allegations the Chattanooga, Tenn., dealership sold unrepaired recalled models. Southern Honda Powersports bills itself as the “World’s largest Honda powersports dealer”.
Federal laws require dealers to stop selling models that are recalled until the defect or noncompliance issue has been remedied. A NHTSA investigation concluded Southern Honda Powersports had sold and delivered 329 recalled motorcycles between 2007 and 2012 without inspecting or repairing any defects.
Southern Honda Powersports denies the allegations, which were sparked allegations raised last October. The dealership reached a settlement with NHTSA to pay a sum of $125,000 to the U.S. Treasury in installments of $25,000 a year until 2017. Under the terms of the agreement, Southern Honda Powersports admits to no liability or culpability. Without this agreement, the dealership faced a potential fine of up to $6,000 per vehicle, which could have amounted to $1,974,000. Continue Reading »