EPA v. FLO-PRO PERFORMANCE EXHAUST (RED DEER) AND THUNDER DIESEL

Case summary

This is Region 5's first judicial aftermarket defeat device settlement. Flo~Pro is a manufacturer of aftermarket motor vehicle exhaust parts and is based in Canada. Thunder Diesel (now defunct) was Flo~Pro?s largest distributor in the United States, based in Arkansas. Flo~Pro and Thunder Diesel have the same owners. The settlement addresses alleged violations of Section 203(a)(3)(B) of the Clean Air Act (CAA), the prohibition on the sale of aftermarket automotive defeat devices. Information from an 208 Information Request response indicates that Thunder Diesel sold over 221,000 defeat devices between January 1, 2016 and March 2019, of which over 158,000 defeat devices were manufactured by Flo~Pro. Given the large number of Flo~Pro defeat devices seen in our enforcement cases, Region 5 estimates total U.S. sales by Flo~Pro of over 351,000 defeat devices between January 2016 and March 2019, or approximately of over 111,000 defeat devices per year (as a Canadian company, Flo~Pro declined to answer our 208 Information Request to it so the exact number is uncertain). The CD requires both entities to stop selling all defeat devices in the U.S. and to pay a combined civil penalty of $1,600,000 (based on ability to pay). The defendants have signed the consent decree and the decree will be routed for Region 5 and OECA AA signature. This case is remarkable in that it is the first settlement involving an aftermarket defeat device manufacturer that is located completely outside of the United States, and that Flo~Pro has been the largest manufacturer of diesel pick-up truck emission control aftertreatment exhaust defeat devices (straight-pipes) that the EPA has dealt with in enforcement cases since 2015. Region 5 estimates that Flo~Pro/Thunder Diesel?s identified violations have led to the emission control deletion of over 347,000 motor vehicles, leading to an excess emissions of over 367,000 tons of NOx, 18,700 tons of non-methane hydrocarbons, and 3,100 tons of PM. Region 5 will be issuing a press release with input from AED and DOJ.

Defendants (1)

• FLO-PRO PERFORMANCE EXHAUST (RED DEER EXHAUST)Named in complaintNamed in settlement

Facilities (2)

• THUNDER DIESEL & PERFORMANCE CO

  1835 SOUTH COLLEGE SPUR, MOUNTAIN HOME, AR, 72653

  Registry ID: 110070379824

• FLO-PRO PERFORMANCE EXHAUST (RED DEER EXHAUST)

  P.O. BOX 783, RED DEER, XX, T4N 5H2

  Registry ID: 110070560388

Statutes cited

• CAA 203 — Prohibited Acts - Motor Vehicle & Motor Vehicle Engines

Enforcement conclusions (1)

• FLO-PRO PERFORMANCE EXHAUST (RED DEER) AND THUNDER DIESELentered 2022-11-01

  Primary law: CAA

  Federal penalty: $1,600,000

Timeline (6 milestones)

• 2019-09-27Referred To Dept Of Justice
• 2019-10-02Enforcement Action Data Entered
• 2021-12-29Supplemental Referral-Other
• 2022-07-28Final Order Lodged
• 2022-07-28Complaint Filed With Court
• 2022-11-01Final Order Entered