Royal Sovereign Faces Severe Penalties for Defective Product Reporting Failures
Royal Sovereign International Inc., a New Jersey-based consumer products company, has been sentenced to pay an $8 million criminal fine and $395,786 in restitution after pleading guilty to failing to report defective air conditioners to the U.S. Consumer Product Safety Commission (CPSC). The company admitted to understating the number of incidents related to the defective units, which were linked to over 40 fires and one death. The air conditioners, manufactured in China and sold between 2008 and 2014, had a faulty drain motor that could cause fires. The company had previously agreed to a $16,025,000 civil penalty with the CPSC, bringing its total financial liability to over $24 million and resulting in its permanent closure.