More problems for Honda

Speaking of PR problems, nearly 50 Honda dealers are suing the automaker for allegedly looking the other way while a company manager forced them to pay kickbacks, according to a suit filed in federal court in Baltimore. The charges stem from the case against former American Honda Motor Co. senior vice president Stanley James Cardiges, who pleaded guilty to receiving between $2 million and $5 million

Speaking of PR problems, nearly 50 Honda dealers are suing the automaker for allegedly looking the other way while a company manager forced them to pay kickbacks, according to a suit filed in federal court in Baltimore. The charges stem from the case against former American Honda Motor Co. senior vice president Stanley James Cardiges, who pleaded guilty to receiving between $2 million and $5 million in cash, clothing, cars and other gifts from dealers looking for lucrative dealerships and scarce but hot-selling cars. The dealers claim they lost millions of dollars in sales because the cars they needed to stay competitive were diverted to dealers who were willing to give kickbacks.

TAGS: Dealers Retail
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