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GM Officials to be Questioned by Investigators

Tina Robinson3 years ago

Investigators seeking answers as to why GM delayed a recall of defective vehicles for over a decade will soon begin questioning GM officials as part of a criminal probe. According to the Wall Street Journal, the news has some senior GM officials rushing to hire defense attorneys.

Federal Investigations Continue

Last week, GM Chief Mary Barra testified before the House and Senate to answer questions about the automaker’s mishandled ignition switch recall. Questioning was often tense as Barra avoided questions, saying she needed to await the conclusion of an internal investigation. GM has hired former U.S. attorney Anton Valukas to spearhead an internal probe of the company.

Barra told committee members Mr. Valukas’ investigation is expected to be completed in 45 to 60 days.

This week the National Highway Traffic Safety Administration (NHTSA) announced that it would begin levying a fine of $7000/day against GM for failing to meet an April 4 deadline to provide answers to 107 questions. GM had turned over more than 200,000 pages of documents, but the safety agency said more than one third of the questions it asked went unanswered.

Congress Toughing on Automakers

The investigations into GM’s ignition switch recall come at a time when lawmakers are beginning to take a tough approach to automakers. In March, Toyota and the Department of Justice announced a $1.2 billion settlement as part of criminal investigations into the “unintended acceleration” issues that forced over 7 million vehicles to be recalled in 2009 and 2010.

Now, lawmakers are sending the messages that companies will be held accountable for safety issues.


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