Baja Inc. and its corporate affiliate, One World Technologies Inc., have agreed to pay a $4.3 million civil penalty and to develop an internal compliance system after company failed to report defective minibikes and go-carts to the U.S. Consumer Product Safety Commission (CPSC).
Federal law requires defects manufacturers, distributors, and retailers to immediately report to CPSC after being notified of a product being defective that could create a substantial product hazard or risk of serious injury or death. A full report was filed by Baja in June 2010 with the CPSC after the company had already received four fire reports of leaking gas caps and burn injuries to consumers. The company also received approximately two dozen reports of stuck throttles. A recall of 308,000 minibikes and go-carts was issued by Baja and CPSC in July 2010.