American Power Products and CSK Auto, Inc. Settlement
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$200,000 in Fines Paid by American Power Products and CSK Auto, Inc.
In September of 2003, ARB cited CSK Auto Inc. (CSK) for selling motorized kick-scooters equipped with non-certified engines at Kragen Auto Parts stores in California. CSK had purchased the non-compliant scooters from American Power Products (APP). Upon notification, CSK immediately pulled the remaining scooters from store inventories and APP replaced them with a new model equipped with a California-certified engine. In addition, APP reported that returns from consumers were very high and APP has repowered all returned scooters with compliant engines. In May of 2004, ARB cited CSK again, this time for selling generators equipped with non-California certified engines at Kragen stores. Again, the supplier of the non-compliant generators was APP. This time, however, a certification application had been submitted to ARB but the units were inadvertently released to CSK before all the certification requirements had been met.
CSK has settled this matter with the ARB for $100,000. The ARB also reached a settlement agreement with APP for $100,000 to be paid in four quarterly installments starting in August of 2006.