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Toyota Motor Corporation (NYSE: TM) Investor Notice: Investigation over possible Violations of Securities Laws

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An investigation on behalf of investors of Toyota Motor Corporation (NYSE: TM) shares over potential securities laws violations by Toyota Motor Corporation and certain of its directors and officers in connection with certain financial statements was announced.

 

Investors who purchased shares of Toyota Motor Corporation (NYSE: TM), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.

 

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Toyota Motor Corporation (NYSE: TM) concerning whether a series of statements by Toyota Motor Corporation regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

 

On November 20, 2023, the Consumer Financial Protection Bureau (“CFPB”) issued a press release announcing that it had “ordered Toyota Motor Credit Corporation to pay $60 million in consumer redress and penalties for operating an illegal scheme to prevent borrowers from cancelling product bundles that increased their monthly car loan payments. The company withheld refunds or refunded incorrect amounts on the bundled products and knowingly tarnished consumers’ credit reports with false information. The CFPB is ordering Toyota Motor Credit to stop its unlawful practices, pay $48 million to harmed consumers, and pay a $12 million penalty into the CFPB’s victims relief fund.”

The CFPB said that Toyota Motor Credit Corporation is the United States-based auto-financing arm of the Toyota Motor Corporation, and is headquartered in Plano, Texas and it is one of the largest indirect auto lenders in the United States, with nearly five million customer accounts and more than $135 billion in assets as of October 2022.

The CFPB said that “Thousands of consumers complained to Toyota Motor Credit that dealers had lied about whether these products were mandatory, included them on contracts without the borrowers’ knowledge, or rushed through paperwork to hide buried terms” and that “Toyota Motor Credit’s actions violated the Consumer Financial Protection Act’s prohibition against unfair and abusive acts and practices, as well as the Fair Credit Reporting Act and its implementing regulation”, that “nevertheless, Toyota Motor Credit devised a scheme to retain the revenue from these products by making it extremely cumbersome to cancel, and then failed to provide proper refunds for consumers who succeeded in cancelling”, and that “the company also falsely told consumer reporting companies that borrowers had missed payments, and it failed to correct consumer reporting errors it knew were wrong”.

The CFPB said that the company harmed consumers, including by directing consumers to a dead-end cancellation hotline, delaying refunds by applying them to principal payments, withholding refunds or providing inaccurate refund amounts, and furnishing false data to consumer reporting companies, and that it had the authority to take enforcement action against institutions that violate federal consumer financial laws, including the prohibition of unfair and abusive acts or practices.

 

Those who purchased shares of Toyota Motor Corporation (NYSE: TM) have certain options and should contact the Shareholders Foundation.

 

Contact:

Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone:  +1-(858)-779-1554
Fax:  +1-(858)-605-5739
mail@shareholdersfoundation.com

About:

The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

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