Shimano to Pay $150,000 Civil Penalty for Alleged Delay in Reporting Defect with Bicycle Cranks

WASHINGTON, D.C. - The U.S. Consumer Product Safety Commission (CPSC) announced today that Shimano American Corp., of Irvine, Calif., has agreed to pay a civil penalty of $150,000 to settle allegations that it violated the Consumer Product Safety Act by failing to report in a timely manner a defect with its FC-CT90, FC-M290 and FC-MC12 bicycle cranks.

CPSC alleges that Shimano failed to report that these three models of bicycle cranks, which were manufactured between March 1994 and May 1995 and incorporated into 49 brands of bicycles, could break suddenly. The crank is used to connect the pedal to the frame of the bike. If the crank breaks, the rider's leg can be injured by contact with the broken crank, or the rider can lose control of the bike, fall and be injured. CPSC alleges that Shimano knew of cranks breaking, resulting in 22 injuries, before it reported to CPSC.

In agreeing to settle this matter, Shimano denies that the bicycle cranks were defective. Shimano also denies that it violated the reporting requirements of the Consumer Product Safety Act.

Shimano announced a voluntary recall of more than 1 million bicycle cranks on July 1, 1997.