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Home U.S. World Entertainment Sports Business Health Science Technology Politics Offbeat Environment Travel News Articles Pep Boys Agree To $5 Million Settlement In Clean Air Act Case Email Facebook Digg Twitter Buzz Up! ShareThis May 11, 2010 10:48 a.m. EST Topics: government, politics, retail, environmental issue, air pollution, environmental pollution, economy, business and finance, safety of citizens, consumer goods, United States Kris Alingod - AHN News Contributor Washington, DC, United States (AHN) - Pep Boys has agreed to pay $5 million to settle allegations it imported and sold China-made vehicles and generators that do not comply with federal emissions regulations. The settlement is the largest vehicle importation case under the Clean Air Act. According to the Justice Department, the auto service and retail giant imported and sold 241,000 illegal vehicles and engines from 2004 through 2009 with the help of a supplier, Baja Inc. The engines and vehicles were from more than 35 manufacturers in China. They were imported and sold without the required emission control information labels and the full emission-system warranty required by the Clean Air Act. Nearly four dozen of the vehicles were not certified to have complied with federal emissions standards. U.S. Customs and Border Protection and the Environmental Protection Agency found out about the violations after inspections at ports and Pep Boys stores. Officials estimated the pollution from the illegally sold vehicles at 620 tons of excess hydrocarbon and nitrogen oxide emissions, and more than 6,520 tons of excess carbon monoxide emissions. Pep Boys said in its announcement of the settlement that it had relied on its vendors to ensure that its products followed federal laws. “While the vast majority of the allegations in the EPA’s complaint relate to deficiencies in paperwork, we do acknowledge the possibility that some of the merchandise that we sold may have generated excess emissions," Brian Zuckerman, general counsel for Pep Boys, said in a statement. As part of the agreement with the federal government, the Philadelphia-based auto parts company has to destroy more than 1,300 vehicles and engines that do not meet emissions rules. It is required to offset the impact of sold vehicles with a lawn mower exchange program that will give discounts to buyers of electric mowers in exchange for gas mowers. Pep Boys will also offer, along with Baja Inc., free extended emission warranties on selected vehicles and engines, as well as reimbursing customers for emission-related services. Baja Inc. also agreed to pay a $25,000 civil penalty. "Equipment imported into the United States that does not meet our pollution control rules is bad for human health and the environment, and unfair to those companies that play by the rules," said Cynthia Giles, assistant administrator for EPA’s Office of Enforcement and Compliance Assurance. "American consumers deserve products that meet standards and protect their health and environment," she added. Pep Boys has an annual sales of $1.9 billion and was the third largest importer of Chinese-made all terrain vehicles in 2008. It operates more than 580 stores in 35 states and Puerto Rico. Copyright © 2003 - 2010 AHN - All rights reserved.Redistribution, republication. syndication, rewriting or broadcast is prohibited without the prior written consent of AHN.License AHN news for your website, business, digital signage network or publication. Most Popular Stories Alligator Wrestler Severely Injured During Performance Susan Boyle Sues Brothers For Breach Of Privacy Brad Pitt Calls Ex-Wife Jennifer Aniston “Pathetic” UFC Cuts Kimbo Slice and Paul Daley After UFC 113 Flights Over Europe Resume Following Closures Prompted By Volcanic Ash Gwyneth Paltrow Clears Up Brad Pitt Trivia Question On “The Marriage Ref” Jokes About Miami Airport Worker's Body Scan Lead To Beating, Arrest The Duggar Family Considering Adding To Their Clan Mike Tyson Admits That He’s “Totally Broke” Dark Chocolate May Protect Against Stroke Recent Posts Most Popular Comments Recent Comments Popular Threads Home | U.S. | World | Entertainment | Sports | Business | Health | Sci / Tech | Politics | Weird / Offbeat Follow AHN on Twitter AHN Social News connects you with friends and the news Client Login | Submit News | Privacy Policy | Terms of Use | Contact | Content Services © 2010 AHN All Rights Reserved

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