Hyundai Whistleblower Receives $24 Million

Nov. 11, 2021

The award to ex-Hyundai Motor engineer Kim Gwang-ho is the biggest ever in a whistleblower case in the auto sector.

Nov. 11, 2021—The National Highway Traffic Safety Administration (NHTSA) has awarded its first-ever reward to a whistleblower, handing out more than $24 million to a former Hyundai Motor employee who provided key information about safety lapses at the South Korean carmaker, Reuters reported. 

The award to ex-Hyundai Motor engineer Kim Gwang-ho is the biggest ever in a whistleblower case in the auto sector globally, according to law firm Constantine Cannon, which represented Kim.

Kim 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.

"This award is the maximum percentage allowed by law," NHTSA said in a statement announcing the award.

NHTSA found that Hyundai and its Kia subsidiary had delayed recalling affected vehicles, and that the automaker had provided inaccurate information about the problems.

The payout to Kim is the first under the U.S.Motor Vehicle Safety Whistleblower Act, passed by Congress in 2015 to create a whistleblower reward program in the Department of Transportation for industry insiders who provide information to safety regulators about defects in vehicles.

About the Author

Ratchet+Wrench Staff Reporters

The Ratchet+Wrench staff reporters have a combined two-plus decades of journalism and mechanical repair experience.

Sponsored Recommendations

Valvoline Partner Solutions

We arm you with products that build trust, tools that unlock productivity, and training that drives business performance, so you feel confident in where your...

Grow the business you know

Enjoy the videos and music you love, upload original content, and share it all with friends, family, and the world on YouTube.

Solutions that drive results

Connect with Valvoline experts to increase operational efficiency and customer loyalty – from Valvoline-funded promotions to hands-on training, we’re here to...

Free Resources for Shops Like Yours

View insights, research and solutions curated specifically for shops like yours.