Honda Parts Supplier To Plead Guilty To Price Fixing

The company makes power steering assemblies used in many Honda vehicles.(Photo: Showa Corp.)
The company makes power steering assemblies used in many Honda vehicles.(Photo: Showa Corp.)

A Honda parts supplier with a factory in Central Ohio has agreed to plead guilty to price fixing.

The U.S. Department says Showa Corporation has agreed to pay a $19.9 million criminal fine for its role in a conspiracy to fix prices and rig bids for power steering assemblies.

A felony charge filed in federal court says the Japan-based company that operates a plant in Sunbury suppressed competition by rigging bids to artificially inflate prices. The federal charge says Showa and co-conspirators agreed on bids before submitting them to Honda, and kept their conduct secret by using code names and meeting at remote locations for more than five years.

The justice department says so far 27 companies and 24 executives have or will plead guilty to price fixing in the auto parts industry and pay fines of more than $2 billion.

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