Takata, U.S. Reportedly To Nominate Feinberg To Oversee Air Bag Fund

(RTTNews) - Takata Corp. (TKTDF.PK) and the U.S. Justice Department have nominated Kenneth Feinberg to design and run a settlement fund of almost $1 billion to compensate consumers over the deadly risks of its air bags and automakers for the cost to replace them, according to reports citing people familiar with the matter.

The reports noted that a federal judge will consider Feinberg's appointment during a hearing Monday in Detroit, where the Tokyo-based company is expected to plead guilty to hiding the deadly risks of its air bags for about 15 years. U.S. prosecutors charged three former Takata executives for their alleged roles. The faulty air bags have been linked to at least 17 deaths around the globe.

The appointment of 71-year-old Feinberg would bring to the case a lawyer experienced in administering some of the nation's highest-profile settlements. He handled General Motors Co.'s ignition switch fund, as well as compensation for victims of the September 11, 2001, terrorist attacks and BP Plc's 2010 Gulf of Mexico spill.

Takata's agreement last month to pay $1 billion to settle a criminal probe removed a hurdle to the air-bag maker's sale.