Gree Electric Appliances Inc., a China-based company with a sales division in California, has allegedly attempted to cover up a potentially lethal defect in its humidifiers and dehumidifiers. Models in question ares old in many popular American stores and are prone to randomly catching fire. The company has recently agreed to pay a record-setting $15.45 million civil penalty related to the dangerous and defective aspects of the machine, though the payment does not imply any admission on Gree Electric’ part regarding their manufacture of dangerous humidifiers.

Elliot Kaye, the head of the United States Product Safety Commission (CPSC), stated that it was “totally unacceptable that [Gree Electric Appliances, Inc.] would put [the product] out on the market and continue to keep on the market while delaying reporting to us and misleading us… about these products that provided a completely unreasonable risk to human life and to property from fire.”

Gree is responsible for manufacturing appliances under 13 disturbingly well-known brands, including GE, Frigidaire and Kenmore. The CPSC reported that over 2.5 million defective models were sold nationwide between 2005 to 2013. Models were stocked on shelves of mainstream appliance sellers like Home Depot and K-Mart and made available online through major shopping websites like Amazon and E-bay.

This information makes it slightly less surprising (though no less appalling) that the destruction caused by Gree Electric’s defective dehumidifiers has been chalked up to nearly $4.5 million in property damage. According to a CPSC official, the $15 million fine accordingly levied against the manufacturer is the largest fine to be demanded from a company by the CPSC in its history.

According to the CPSC settlement agreement, Gree had been receiving reports of smoking, sparking and fires causing property damage as early as 2012. However, the company failed to immediately notify the CPSC of the issues and continued to sell the dehumidifiers for years after being aware of the defect.

The CPSC also accused Gree Electric of attempting to obfuscate the CPSC’s investigation, allegedly lying about the risk in an effort to downplay the issue. Gree Electric then quietly revised the product to make it safer without notifying U.S. safety issues, as if to make it seem like the product had been outfitted with the proper precautions all along.

“That conduct is not going to be tolerated,” stated Kaye. “If there’s any confusion about what this civil penalty means, let’s be very clear about it. It’s not going to be tolerated for these companies to write these penalties off as the cost of doing business.”

Gree announced recalls for the dehumidifers in question in 2013 and again in 2014, though there are doubtlessly thousands of models still in use by unknowing consumers today.

Kaye was asked if the case had been referred to the U.S. Department of Justice for a possible criminal investigation, to which he replied that his office took no issue with referring “bad actors” to the government department. He was asked if there existed a list of companies the CPSC would consider referring, to which he responded, “internally, absolutely.”

Kaye’s statements were made in the nation’s capital at Consumer Assembly, an annual conference attended by consumer advocates from government agencies and the private and non-profit sectors. The conference is organized by the Consumer Federation of America.

For Gree Electric, the penalties don’t end with the $15 million fine. Gree will also be forced to implement CPSC compliance programs and make substantial improvements to its internal processes.

One has to hope that the heavy fine will make an example of Gree Electric for companies that might be tempted to ignore dangerous defects in hopes of continuing to make high profits. That said, if you’re ever wondering about the right time to replace your appliance,one major sign is when it’s recalled for spontaneously combusting.