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

  • 20 cities challenge relaxation of EU air pollution standards
    May 6, 2016
    Ordered to cut air pollution levels by Brussels, a group of EU cities are taking the European Commission to court over its decision to relax car emissions standards, making their objectives even less attainable, according to EurActiv France. The EU’s muddled position on air pollution has angered the bloc’s major cities. For Paris, Madrid and Copenhagen, the EU’s decision to give carmakers more freedom to pollute is unacceptable. But since it was discreetly added to the Official Journal of the European Unio
  • Electronic toll collection delivers efficient traffic regulation
    February 3, 2012
    Electronic tolling systems have been in use for decades now. Worldwide, steadily more and more tolling systems are being set into operation, providing efficient means for traffic regulation and financing of infrastructure. But despite this maturity enforcement is still not being given the consideration it deserves. Q-Free's Steinar Furan writes
  • Redflex installs the first point to point system in South Australia
    July 7, 2014
    Following the successful rollout of average speed enforcement systems on four zones of Victoria’s Peninsula Link and up to eight zones of the Hume Highway, together with 37 sites in New South Wales, Redflex has now implemented next generation average speed enforcement systems on Port Wakefield Road and Dukes Highway in South Australia. Two RedflexPoint-to-point cameras are now providing average speed enforcement on two major carriageways leading into the city of Adelaide; in both directions on the 13 kil
  • Wrong-way vehicle detection pilot project under way Florida
    October 20, 2014
    Florida’s Department of Transportation (FDOT) has taken action against would-be wrong-way drivers at 15 interchanges on the state’s turnpike system, with a US$400,000 pilot project designed to detect, alert and potentially deter them. The project includes enhanced LED wrong-way roadway signs on the ramps and electronic vehicle detection equipment that are designed to quickly notify law enforcement and authorities. It is intended to study the effectiveness of these traffic safety devices that are currentl