Toyota likely to face $16m fine

US regulators yesterday proposed fining Toyota the maximum penalty of $16.4m (£10.7m), saying the company failed to notify the government in a timely way about accelerator pedal flaws that were the subject of a massive recall in January.

The Transportation Department’s National Highway Traffic Safety Administration accused Toyota of failing to notify regulators about the defect for at least four months, despite potential risks.

The penalty would be the largest fine ever levied against an auto manufacturer by the US government.