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Jason Lefkowitz

Kind of surprised this story hasn't generated more discussion.

Cummins is a company that, among other things, makes automotive engines used in a variety of vehicles. In independent testing, the EPA discovered that the Cummins diesel engines in 630,000 Ram trucks made between 2013 and 2019 had included a "defeat device" to let them pass emissions testing when they should not have.

The Justice Department, EPA and state of California all filed suit, and Cummins eventually agreed to a settlement that requires it to both pay for a recall of all the affected vehicles, and to pay US$1.675 billion in civil penalties. That's the largest penalty ever levied under the Clean Air Act in its history -- larger even than the one Volkswagen had to pay over Dieselgate.

justice.gov/opa/pr/united-stat

16 January at 21:45 | Open on octodon.social
20 comments
Artemesia

@jalefkowit

A VW exec went to prison for this (in the US). Why isn't prison on the menu for Cummins?

16 January at 21:49 | Open on techhub.social
Dallas (Join Something IRL)

@artemesia @jalefkowit

That's probably part of the plea deal. The plea deal probably came with a "no criminal charges" clause. Cummins executives probably knew that criminal charges were a possibility so that encouraged them to settle more quickly for a much higher number than they otherwise would without going to trial.

Cummins isn't *that* big of a company. $1.6 billion is a big hit. It's 3 years of profits for them. And other states will probably follow California with their own law suits.

17 January at 14:03 | Open on deacon.social
John Francis

@1dalm @artemesia @jalefkowit unfortunate that the criminal responsibility of the executives that directed this is transformed into a $ penalty for Cummins shareholders, employees, and customers.

Are the responsible executives even paying fines and penaties personally?

17 January at 15:14 | Open on mastodon.social
Dallas, PE ✌️

@johnefrancis @artemesia @jalefkowit

(Switching over to my science-y/engineering-y account)

I am an Environmental Engineer, with a specialty in hazmat releases and have been involved in many enforcement cases like this where I'm called in to investigate and report. (Obviously orders of magnitude smaller cases than this, and obviously I'm not involved in this specific case so everything I say is speculation.)

17 January at 15:39 | Open on scicomm.xyz
Dallas, PE ✌️

@johnefrancis

That said, burning 3 years of profits in fines is not nothing for a company like this. Looking at their financials, they didn't have $1.7+ billion in cash on hand, so they will probably have to take on some pretty expensive debt to pay this off or sell off assets. There will probably be a pretty good shake up of the board from the share holders, likely including additional shareholder lawsuits. The responsible executives are going to be dealing with this daily for years.

17 January at 15:40 | Open on scicomm.xyz
Dallas, PE ✌️

@johnefrancis

As for the workers, I actually think they are probably sitting in a pretty good position. Cummins agreed to a recall of 600,000 Ram trucks. The workers are going to be plenty busy, and safely employed, for years.

The customers will probably also be able to file a class action suit.

Meanwhile, the tax payers get to avoid a lengthy, costly, and risky trial. (With a very pro-business SCOTUS, do you really want to roll those dice?)

17 January at 15:41 | Open on scicomm.xyz
Dallas, PE ✌️

@johnefrancis

So, I think this is likely as big of a regulatory win as a regulated free market can get. And it's definitely a big win.

17 January at 15:41 | Open on scicomm.xyz
ScienceCommunicator

@1dalm @artemesia @jalefkowit

Plea deal BS.

It's an extremely serious offence they committed. Whoever made the call to install a "defeat device" should, of course never work in a management position again, or at least not until they have served some time. Basically, justice should be seen to be done. Or there is a high chance that the crooks will do it again.

BS when rich people can pay a fine to avoid prison, when for a more minor criminal act, a "poor" person would do time.

18 January at 7:15 | Open on mstdn.science
Dallas (Join Something IRL)

@ScienceCommunicator @artemesia @jalefkowit

Prosecutors have to be allowed to bargain for plea deals. You want to take the clean air act to SCOTUS right now?

18 January at 12:23 | Open on deacon.social
Artemesia

@1dalm @ScienceCommunicator @jalefkowit

VW resulted in prosecutions. It is mostly the same assholes on the SC now as then.

18 January at 12:30 | Open on techhub.social
🐈it's me your catdad🕺

@jalefkowit in dieselgate1 I'm pretty sure literally everyone was cheating with diesel emissions but vw was the only one that kept doubling down

16 January at 21:52 | Open on octodon.social
nigel
All manufacturers do this, the tests are a certain procedure, the ecu is set up to detect this happening and change the tune to pass.
BMW bike engines come to mind.
16 January at 21:52 | Open on snac.lowkey.party
ohmu

@jalefkowit
I agree. I didn't know it was larger than VW until you just pointed it out.

16 January at 22:41 | Open on social.seattle.wa.us
Alexf24

@jalefkowit Disgusting. Now for the question: How many of their executives (CEO, and the like) are going to jail?

Anyone? Bueller? Bueller?

16 January at 23:27 | Open on mstdn.social
Chris Johnson
Sharon McCarthy
Wrek Anthony

@jalefkowit

Not for nothing, but emissions testing requirements for consumer vehicles younger than ten years, is a complete racket.

It’s a waste of time, that costs consumers millions from crooked auto service centers that rack up needless repair costs, while holding inspection stickers ransom.

Here in PA, they’re all crooks, particularly the dealership service centers.

Meanwhile, every town or city truck spews black soot from their stacks, and they are exempt from emissions inspections.

We have 2 million semi trucks on the road in America, spewing tons of emissions every day.

The average cruise ship uses 1 gallon of fuel, per 30-50 feet! 250 tonnes per day, or 80,000 gallons!

And we’re not even talking about planes blanketing the entire atmosphere with so much emissions, they are literally blocking out the sun.

Auto emissions are the least of our problems.

@jalefkowit

Not for nothing, but emissions testing requirements for consumer vehicles younger than ten years, is a complete racket.

It’s a waste of time, that costs consumers millions from crooked auto service centers that rack up needless repair costs, while holding inspection stickers ransom.

Here in PA, they’re all crooks, particularly the dealership service centers.

17 January at 23:52 | Open on universeodon.com
Tom Boucher

@jalefkowit I mean, to me, the fine isn't worth it unless it's 3x the profits of everything sold during that time. I've seen it discussed, but the auto industry is pretty quiet, but the EV news sites like @show did a report on it.

18 January at 0:26 | Open on mastodon.social
Richard Johnson

@jalefkowit @slightlyoff

It's all over auto blogs and channels.

Neat trick, getting certified by gaming power-vs-NOx to show low NOx in the known test driving pattern, but going ungoverned in other normal use driving patterns. And then relying on expense of direct NOx testing of all vehicles to stay under the radar.

Prevailing sentiment among owners seems to be "WTF Cummins?" We'll see how well they meet or exceed the software update/fix target percentages required, though.

18 January at 4:40 | Open on mastodon.social
ScienceCommunicator

@jalefkowit @glasspusher

So did the bad guys get what they deserved? Or did the lying rich get away with paying a business fine that won't effect their income?

18 January at 7:09 | Open on mstdn.science
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