Constantine Cannon 1-866-497-7162 IN FIRST AWARD UNDER NEW VEHICLE-SAFETY WHISTLEBLOWER PROGRAM, CONSTANTINE CANNON CLIENT AND INTERNATIONAL WHISTLEBLOWER GETS $24.3 MILLION Why C|C? I Think I Have a Case Fraud Types Government Enforcement Blog & News FAQs HOME FIRM NEWS CONSTANTINE CANNON ANNOUNCES FIRST-EVER NHTSA WHISTLEBLOWER AWARD IN HYUNDAI-KIA ENGINE DEFECT CASE HAVE A CLAIM? SUBSCRIBE TO OUR BLOG Constantine Cannon Announces First-Ever NHTSA Whistleblower Award In Hyundai-Kia Engine Defect Case Posted November 9, 2021 AWARD TO FORMER HYUNDAI SAFETY ENGINEER IN SOUTH KOREA HIGHLIGHTS THE INTERNATIONAL REACH OF U.S. WHISTLEBLOWER LAWS, WHICH PROVIDE AWARDS TO THOSE WHO REPORT FRAUD OR CORRUPTION SAN FRANCISCO, CA (November 9, 2021) –Constantine Cannon is pleased to announce that its client, former Hyundai safety engineer Kim Gwang-ho, has received $24.3 million in the first-ever whistleblower award from the U.S. National Highway Traffic Safety Administration (NHTSA). It is the largest award ever granted in an automotive whistleblower case and comes as NHTSA and the U.S. Department of Transportation (DOT) prepare to propose regulations related to an automotive whistleblower program Congress created in 2015. It is also the maximum amount available under the law. Mr. Kim, based in Seoul, South Korea, reported to NHTSA in 2016 that Hyundai was failing to address a design flaw linked to its Theta II engines, which were prone to seizing up and even catching fire. NHTSA found that Hyundai and its Kia subsidiary had delayed recalling the vehicles, and that the Korean automaker had provided inaccurate information about the problems. In 2020, Hyundai and Kia agreed to pay $81 million (and up to $210 million) to NHTSA to resolve the claims and implement new safety procedures. Under the new automotive whistleblower program, auto-industry employees who report fraud are entitled to receive up to 30% of any collected monetary sanctions resulting from their claims. “I am pleased that I have been justly compensated for the risks I took to protect owners of these defective cars, and grateful that the U.S.’s legal system had a program in place to make this possible.” Mr. Kim said. “I hope my reporting leads to real safety improvements, both at Hyundai and throughout the industry.” Mr. Kim continued, “At Hyundai, we often repeated the catchphrase ‘Quality is our pride.’ I blew the whistle so Hyundai and Kia would keep this promise. I am glad I helped save vehicle owners everywhere several billion dollars in repair costs that Hyundai and Kia schemed to put on them.” Constantine Cannon attorney Ari Yampolsky said: “This is an important award—not just for Mr. Kim, but for the automotive industry as a whole. It is another step in the internationalization of efforts to root out fraud and corruption. Auto-industry employees everywhere need to know: If your employer sells unsafe vehicles in the United States, NHTSA wants to hear from you, and can pay you a financial reward for exposing misconduct.” Mr. Yampolsky added: “The SEC’s whistleblower program recently passed the $1 billion mark in awards to insiders worldwide who reported fraud. Whistleblowers are now the key tool regulators use to go after financial fraud in the U.S. With the NHTSA whistleblower program now underway, we fully expect a similar impact on the automotive industry—which ultimately results in safer cars and fewer lives lost.” In 2015, Congress passed the Motor Vehicle Safety Whistleblower Act. The law created a whistleblower reward program in the DOT to pay awards to industry insiders who provide information to safety regulators about defects in vehicles. The law, which was modeled after other U.S. whistleblower programs, such as the one the U.S. Securities and Exchange Commission established in 2011, also protects whistleblowers from retaliation and protects their confidentiality. Constantine Cannon is the leading law firm in the world in automotive-related whistleblower actions. In addition to Mr. Kim’s case and others currently pending, in 2018 the firm obtained more than $1 million on behalf of two individuals who provided information to the U.S. government in its criminal action against Takata, the now-defunct maker of defective airbags that exploded and claimed the lives of 22 people. The case set off a worldwide recall of nearly 100 million airbag inflators. Constantine Cannon also secured an $8 million settlement on behalf of a whistleblower client in a False Claims Act lawsuit against one of the largest aftermarket brake and chassis parts distributors in North America. NHTSA’s whistleblower regulations are expected to be finalized in early 2022. NHTSA Press Release Read more on our Whistleblower Insider blog. ABOUT CONSTANTINE CANNON LLP With offices in New York, Washington, D.C., San Francisco and London, Constantine Cannon LLP is one of the largest whistleblower practices in the United States. The firm’s team of dedicated whistleblower lawyers represent whistleblowers under federal and state False Claims Acts as well as the whistleblower programs of the IRS, SEC, CFTC, DOT, and others. Constantine Cannon also has deep expertise in practice areas that include antitrust and complex commercial litigation, government relations, securities, and e-discovery. The firm’s antitrust practice is among the largest and most well recognized in the nation. Constantine Cannon’s experience spans multiple industries, including healthcare, banking, electronic payments, insurance, high tech, telecommunications, the Internet, and government contracting. Media Contact: PRCG | Haggerty LLC (212) 683-8100 Lucy O’Brien, lobrien@prcg.com Cristopher Bruce, cbruce@prcg.com BACK NEWSLETTER Subscribe to receive email updates from the Constantine Cannon blogs SIGN UP FOR: Newsletter subscription* Antitrust TodayWhistleblower InsiderC|C PaymentsArt Law Blog Constantine Cannon is committed to protecting and respecting your privacy, and we’ll only use your personal information to administer your account and to provide the products and services you requested from us. From time to time, we would like to contact you about our products and services, as well as other content that may be of interest to you. If you consent to us contacting you for this purpose, please tick below to say how you would like us to contact you: I agree to receive other communications from Constantine Cannon. You can unsubscribe from these communications at any time. For more information on how to unsubscribe, our privacy practices, and how we are committed to protecting and respecting your privacy, please review our Privacy Policy. By clicking submit below, you consent to allow Constantine Cannon to store and process the personal information submitted above to provide you the content requested. ABOUT US ATTORNEYS CONTACT NEWS Firm News Publications & Speeches Antitrust Today Blog Whistleblower Insider Blog C|C Payments Blog Art@Law Blog OFFICES New York Washington D.C. San Francisco London PRACTICES Antitrust Litigation & Counseling Whistleblower Representation Art & Cultural Property Commercial Litigation Compliance, Monitoring & Investigations . E-Discovery Counseling Government Affairs Intellectual Property & Technology © 2005 - 2021 CONSTANTINE CANNON LLP ATTORNEY ADVERTISING DISCLAIMERS. PRIVACY POLICY.