The city of Chicago has joined a lawsuit against Redflex, an Australian company that sold the city red light cameras starting in 2003. Redflex announced the legal action in a statement to stockholders (PDF) today, sending the company's already-suffering stock down to $0.17 per share.
The suit alleges (PDF) that Redflex bribed a former Department of Transportation manager, John Bills, with $2 million in kickbacks to secure contracts with the city. The debacle has already resulted in corruption convictions, and the company's CEO, Karen Finley, pleaded guilty to bribery earlier this year.
Beyond these issues, Redflex cameras have been implicated in faulty ticketing accusations, with the company's cameras allegedly issuing some 13,000 undeserved tickets to motorists in 2014. Redflex cameras have reportedly raised more than $500 million in traffic fines since 2003, according to the Chicago Tribune.
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