ISE Corporation Case Settles for $50,000

This page last reviewed May 10, 2011

In June 2010, the ARB reached a settlement with ISE Corporation that included a $50,000 penalty to the California Air Pollution Fund for introducing into commerce and selling uncertified engines without an ARB Executive Order.

An investigation by the ARB initiated in January 2009, showed that between February 2008 and December 2008, ISE Corporation introduced to commerce and sold uncertified hybrid engines for use in transit buses in California using a 2005 Executive Order. During the investigation, the ARB discovered uncertified engines were sold to local transit agencies around the state.  Some agencies were using the new hybrid engine buses as part of their fleet.  Upon learning these facts, the ARB worked cooperatively with ISE Corporation and the transit agencies to retrofit the 2005 engines to the current standards for the model year sold (i.e. MY 2009) without causing any disruption to normal operation.  Further, upon request from ISE Corporation, during the April 2009 Long Beach Grand Prix the ARB granted an exemption for the use of hybrid buses which were awaiting retrofit.  The outcome of working cooperatively and in partnership with the parties involved resulted in a timely upgrade of the retrofitted engines. The California Health and Safety Code section 43154 and section 43212 prohibit the sale of uncertified engines.  The case settled in June 2010, for Fifty Thousand Dollars ($50,000).