In a week where Volkswagen and Takata both entered guilty pleas to criminal wrongdoing as part of settlements with federal prosecutors, the Department of Justice has reportedly opened a new investigation against Fiat Chrysler for its alleged failure to disclose so-called “defeat devices” in 100,000 vehicles. [More]
Crime & Fraud
3 Takata Execs Face Criminal Charges Over Handling Of Deadly Airbag Defect
By 1.13.17
For the second time in one week federal authorities have taken the rare step of bringing criminal charges against auto industry executives for alleged wrongdoing. Today, the Justice Department announced criminal indictments against a trio of execs at auto parts maker Takata for their involvement with the shrapnel-shooting airbags that have been linked to at least 11 deaths. [More]
Guilty Plea, $1 Billion Penalty Expected In Deadly Takata Airbag Debacle
By 1.12.17
When it rains criminal settlements it apparently pours: auto parts maker Takata will reportedly plead guilty to criminal wrongdoing in the handling of its years-long shrapnel-shooting airbag defect debacle by the end of the week. [More]
1-In-4 Consumers Contacted By Debt Collectors Feel Threatened
By 1.12.17
More than 70 million Americans are contacted by a debt collector or creditor each year. While those debt collectors have a job — to get borrowers to repay on their overdue debts — some have used illegal tactics, such as threatening lawsuits, arrests, or contacting consumers’ employers or family members. Now, a new report by the Consumer Financial Protection Bureau finds that harassment by these collectors is all too common. [More]
Feds Bring Criminal Charges Against 6 Volkswagen Executives
By 1.11.17
In a rare instance of criminal charges being brought against executives at one of the world’s largest car companies, federal authorities have indicted six Volkswagen employees involved in the decade-long “Dieselgate” scandal and cover-up. [More]
Samsung Vice Chairman Linked To Growing South Korea Bribery Scandal
By 1.11.17 — Updated: 1.16.17
As if the worldwide recall of its Galaxy Note 7 — not to mention 2.8 million washing machines that could break your jaw — wasn’t enough of an issue for Samsung, one of the company’s executives has now been linked to a growing bribery scandal investigation in South Korea. [More]
Wells Fargo Overhauls Teller Pay System After Fake Account Fiasco
By 1.11.17 — Updated: 1.23.17
Shortly after federal regulators fined Wells Fargo $185 million for its decades-long fake account fiasco perpetrated by employees who opened more than two million unauthorized accounts in order to meet high-pressure sales goals, the company said it would ditch the incentive system. Now, the bank has finally outlined its new approach to compensating employees that shifts the focus away from upselling add-on products and toward improved customer satisfaction. [More]
Armed Robberies Of Delivery Drivers A Growing Problem In Chicago
By 1.11.17
Delivery drivers have trucks full of valuable, brand-new merchandise, and don’t have a lot of visible security protection. That may be the reason why delivery drivers for the U.S. Postal Service, UPS, and Amazon have recently been the targets of burglars, armed robbers, and even carjackers on Chicago’s South Side. [More]
Your New Stormtrooper Snuggie Comes With A Surprise: It Strips You Of Your Right To File A Lawsuit
By 1.11.17
Until the other day, Consumerist reader Jeff had completely forgotten about that cute Stormtrooper Snuggie someone gave him for Christmas. When he finally opened the box, there was the Star Wars-themed sleeved blanket, and a slip of paper giving him the bad news: He had, without doing a thing, given up his right to sue the Snuggie’s manufacturer. [More]
VW Reaches $4.3 Billion Settlement Over Criminal Allegations For ‘Dieselgate’
By 1.10.17
Days after federal authorities arrested a Volkswagen executive in connection with the company’s ongoing “Dieselgate” scandal, the carmaker says it has reached a $4.3 billion settlement to resolve allegations of criminal wrongdoing. [More]
Trail Of Cash Leads Police To Bank Robbery Suspect
By 1.10.17
Forget a trail of bread crumbs, police said all they had to do to nab a bank robbery suspect was follow the literal trail of money he left behind. We would like to welcome you, sir, to the You Have Only Yourself To Blame Hall of Fame. [More]
FBI Paid Multiple Best Buy Employees After Finding Illegal Content On Computers
By 1.10.17
As we told you last spring, lawyers for a California doctor accused of possessing child pornography claimed that the FBI had paid a Best Buy employee as an informant. Recently released court documents confirm that multiple Best Buy/Geek Squad staffers received money from the agency after telling the FBI about finding illegal content on customers’ devices. [More]
Man Wants Police to Apologize For Confusing Sock Full Of Kitty Litter With Meth
By 1.9.17
Quick! Do you have a sock filled with kitty litter sitting in your car? We’re not going to ask why you’d have such a thing (that’s your business), but you may want to remove it, lest law enforcement mistake it for methamphetamine. [More]
Medical Debt Collection Firms Must Refund $577K For Threatening Consumers
By 1.9.17 — Updated: 1.10.17
In this latest episode of Debt Collectors Behaving Badly, we bring you the tale of two medical debt collection law firms who must now refund hundreds of thousands of dollars after they were caught falsely claiming that attorneys were involved in collection actions. [More]
Feds, New York Accuse Maker Of Prevagen Dietary Supplement Of False Advertising
By 1.9.17
Prevagen is a dietary supplement that claims to help improve memory in 90 days, but both federal and state regulators are accusing the company behind Prevagen of making false and unsubstantiated claims. [More]
Razer CEO: Two Prototype Devices Stolen From Company’s CES Booth
By 1.9.17
If you happened to walk away from CES in Las Vegas with a few bits of Razer tech that don’t belong to you, the CEO of the company would like to have a word about two prototype devices that have gone missing. [More]
VW Executive Arrested In Connection With ‘Dieselgate’ Scandal
By 1.9.17
Five months after investigators found evidence of criminal behavior at Volkswagen tied to “Dieselgate,” one executive with the carmaker has been arrested. [More]
Former Blood-Testing Company Theranos Somehow Still Has 155 Employees To Fire
By 1.9.17 — Updated: 1.11.17
Remember Theranos, the blood-testing company that managed to be one of the most scandal-plagued startups of recent years? The company is back in the headlines, with the sad news that it’s managed to find 41% of staff it hadn’t yet laid off, and has targeted them for downsizing immediately. [More]
