The Securities and Exchange Commission settled charges with automaker FCA US LLC, and its parent company, Fiat Chrysler Automobiles N.V.,
for misleading investors about the number of new vehicles sold each month to customers in the United States. FCA US and Fiat Chrysler Automobiles did not admit or deny the allegations but agreed to pay $40 million to settle charges that between 2012 and 2016, Fiat Chrysler inflated new vehicle sales results by paying dealers to report fake vehicle sales and maintaining a database of actual but unreported sales, which employees often referred to as a “cookie jar.” In months when the growth streak would have ended or when FCA US fell short of other targets, FCA US dipped into the “cookie jar” and reported old sales as if they had just occurred. FCA US issued monthly press releases falsely reporting new vehicle sales and falsely touting a “streak” of uninterrupted monthly year-over-year sales growth, when in fact, the growth streak had been broken in September 2013.
Go to Source