The United States Consumer Product Safety Commission has announced today that HMI Industries Inc., agreed to pay a $725,000 civil penalty. CPSC added that it has provisionally accepted the penalty in a 2 to 1 commission vote.
The settlement resolves charges that the firm knowingly failed to report to CPSC immediately, as required by federal law, a defect involving Majestic 360 floor cleaners. HMI sold the floor cleaners nationwide from September 2004 through August 2006, for about $1,800.
CPSC staff charged that Majestic 360 wiring can overheat, causing electrical arcing and melting, which poses a burn hazard. The staff went on to charge that the company underreported the number of incidents and injuries associated with the floor cleaners, an action that constituted a material misrepresentation to staff, noted the commission.