GM Fined $35 Million for Ignition-Related Recalls

Rep. Diana DeGette, D-Colo., holds up a GM ignition switch while she questions General Motors CEO Mary Barra on Capitol Hill in Washington, Tuesday, April 1, 2014.

The U.S. government announced on Friday it was giving its maximum fine of $35 million to General Motors for delaying recalls for some models with faulty ignition switches.
The glitch has been linked to 13 deaths.

The fine of $35 million is the maximum allowed by law. GM posted revenues of $155.4 billion last year and $3.8 billion in profits.
GM's recalls affect 2.6 million vehicles. The defect in ignition systems in certain GM models have caused them to switch off while in motion, disabling the cars' airbags. The issue, which GM has known about for a decade, has prompted a recall of vehicles dating back to the 2003 model year.
Last month, Mary Barra, GM's newly minted CEO, endured hours of grilling from Congress over the recall. At the hearing, Barra apologized to victims' families.
The National Highway Traffic Safety Administration has been probing the issue. The Department of Justice is investigating as well.

No comments:


© 2012 Học Để ThiBlog tài liệu