Skip to main content

Redflex enters into non-prosecution agreement with United States

The Department of Justice and the United States Attorney’s Offices for the Northern District of Illinois and the Southern District of Ohio (collectively, “DOJ”) have entered into a non-prosecution agreement with Redflex Traffic Systems Inc., a Phoenix-based automated safety company. The agreement was reached in part due to Redflex’s extensive and thorough cooperation over recent years, which is detailed in the agreement. It included cooperation with the successful prosecutions of several individuals, in
January 4, 2017 Read time: 3 mins
112 Redflex Traffic Systems has entered into a non-prosecution agreement with the US Department of Justice and the United States Attorney’s Offices for the Northern District of Illinois and the Southern District of Ohio (DOJ), due in part to Redflex’s extensive and thorough cooperation over recent years, which is detailed in the agreement.  This included cooperation with the successful prosecutions of several individuals, including a high-ranking city of Chicago official and Redflex’s previous chief executive officer.

Among its obligations under the agreement, which continues for two years, Redflex will pay restitution and compensatory damages to the City of Chicago, the amount of which will be determined either by a final judgment or a settlement agreement in Chicago’s pending civil lawsuit against Redflex.  The company will also pay restitution of US$100,000 to the City of Columbus, Ohio.

Redflex also agreed to cooperate fully with DOJ and any other law enforcement agency designated by DOJ, including the Australian Federal Police and other Australian law enforcement authorities.  As part of that obligation, Redflex must, if requested, provide those authorities with all non-privileged information, documents, records, or other tangible evidence.  In spite of the two-year time period of the agreement, Redflex agreed to cooperate with DOJ, the Australian Federal Police, and other Australian law enforcement authorities until all investigations or prosecutions are concluded.

In exchange, DOJ agreed that it will not criminally prosecute Redflex for any of the conduct arising out of investigations in Chicago and Columbus.  The agreement does not relate to any potential tax charges.

Since the start of the US investigations, Redflex has initiated substantial additions and changes to its compliance program, policies and procedures.  The company agreed in the non-prosecution agreement to revise and address any deficiencies in its compliance code, policies and procedures regarding compliance with applicable anti-bribery and anti-corruption laws.  It agreed to adopt new policies to ensure that it maintains a rigorous anti-bribery and anti-corruption compliance code, and to install procedures designed to detect and deter violations of such laws.

During the term of the agreement, Redflex must prepare at least four follow-up reports and periodically submit them to DOJ.  If the company is found to have violated any provision of the non-prosecution agreement, it will be subject to prosecution for any applicable violation of US law, including perjury and obstruction of justice.

For more information on companies in this article

Related Content

  • Australian ITS market 2015-2020
    July 23, 2015
    The latest research report from Research and Markets indicated that the total Australian intelligent transportation systems (ITS) market is expected to reach US$1,130.2 million by 2020, at a CAGR of 14.41 per cent between 2015 and 2020. According to the report, Australia Intelligent Transport System (ITS) Market by Application, System (ATMS, ATIS, ITS-enabled Transportation Pricing Systems, APTS and CVO), and Territory (New South Wales, Victoria, Queensland, Western Australia, Rest of Australia) - Foreca
  • ITS solutions to keep truck traffic moving
    June 8, 2015
    David Crawford reviews freight management initiatives. Managing truck traffic to minimise its environmental impacts, without adversely impacting on its critical economic role, continues to drive ITS-based solutions in both urban and interurban contexts.
  • Taking the long view of ITS
    March 24, 2015
    Caroline Visser believes the ITS industry must present a coherent case for consideration of the technology to become part of transport policy and planning. As ITS advisor and road finance director for the International Road Federation (IRF) in Geneva, Caroline Visser is well placed to evaluate quantifying the benefits of ITS implementation – a topic about which there is little agreement and even less consistency. She is pressing to get some consistency in the evaluation of ITS deployments through the use of
  • RedSpeed enhance school bus safety
    January 7, 2014
    With an estimated 15 million stop arm violations in America every year, RedSpeed is offering school bus operators an automated photo enforcement system free of charge.