Fiat Chrysler Sales Reports Probed by Justice Department, SEC
Fiat Chrysler Automobiles NV is under investigation by U.S. authorities over how it reports sales, the company said.
Fiat Chrysler is cooperating with investigations by the Justice Department and the Securities and Exchange Commission into the reporting of vehicle sales to customers in the U.S., the company said in a statement Monday.
Bloomberg News reported earlier that prosecutors had opened a criminal investigation into potential securities fraud, according to people familiar with the matter. The Justice Department inquiry is in an early stage, according to two people, who asked not to be identified because the investigation is confidential.
The federal investigation follows civil lawsuits that challenged the company’s sales numbers. In a suit filed in January, a Chicago-area dealer alleged the company inflated its U.S. car sales by paying dealers to report selling more vehicles than they actually did.
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http://www.bloomberg.com/news/articles/2016-07-18/fiat-chrysler-said-to-face-u-s-justice-department-fraud-probe