Mattel pays record fine
The US Consumer Product Safety Commission socked Mattel with a record find of $2.3 Million for lead paint toy recalls the toy company was forced to enact back in 2007. And Mattel, was quick to agree and whip out the corporate checkbook to pay it. But you can imagine that Mattel, and it’s subsidiary toddler toy division Fisher-Price will no doubt pass on the costs of the fine to either the subsidiaries in China who produced the lead tainted toys, or pass on the costs to the very consumers their bad toys affected.
In 2007, Mattel recalled over 2 million toys in an whopping 95 categories for having nearly .1 percent led in the paint and materials, far past the legal limit. The $2 million plus fin is the largest ever levied by the CPSC on violations involving imported toys, and the third highest in history. BUt it does close the books on an embarrassing time for Mattel, which included licensed toys from both Disney’s Cars, and Go Diego – a spin off of the Dora the Explorer series.
Saying of the fines, CPSC acting Chairman Thomas Moore believes that this large of a fine should have quite the chilling affect on toy manufacturers looking the other way while their import companies use cheap, and dangerous chemicals to fulfill quotas and boost the bottom line. But this fine is by no means the end of the line as the CPSC is investigating other lead tainting toy claims. So Mattel may want to leave the amount blank for now.
Hat Tip – Playthings