GM Fined $35 Million for Recall Delay

GM will pay the maximum $35 million fine to the United States Department of Transportation for delays in the recall of cars with defective ignition switches. The defect has been linked to 13 deaths and 32 crashes.

The fine is the highest civil penalty ever paid as a result of an investigation into recall problems by the National Highway Traffic Safety Administration (NHTSA). In a released statement, the Department of Transportation (DOT) said that the GM has also agreed to make “significant and wide-ranging internal changes” in how it monitors safety issues.

The DOT reported that GM will need to take part in unprecedented oversight requirements as a result of the findings form the NHTSA’s timeliness investigation regarding the Chevy Cobalt and the automakers’ failure to report a safety defect in a more timely manner.

Federal law requires that all auto manufacturers must notify the NHTSA within five business days of determining that a safety-related defect exists. […]

Scranton personal injury lawyer talks about more GM recall

GM recalled another 2.7 million vehicles in the United States for safety problems that have resulted in hundreds of complaints and some injuries. This follows millions of vehicles being recalled earlier this year for faulty ignition switches.

GM’s latest recall was for tail light malfunctions in cars including the Chevrolet Malibu, Pontiac G6, and Saturn Aura. According to the New York Times, the action for the Chevy Malibu marks the ninth time in about 16 months that the automaker has recalled vehicles that previously only had dealer bulletins sent.

So far this year, GM has recalled about 11.1 million vehicles in the US alone. The largest of the new recalls covers 2.4 million cars that have faulty wiring that could case brake lights to malfunction and not illuminate or could illuminate the lights without the pedal being touched.

GM says corrosion causes the brake-light fault, […]

Pennsylvania personal injury lawyer: More accidents may be tied to GM faulty ignition switch

In what the New York Times reported as the most concrete movement yet that GM intended to compensate victims and their families, the lawyer hired by GM to determine compensation of victims of GM cars with faulty ignition switches met last week with lawyers representing hundreds of people and their families who claim they were affected by accidents involving the vehicles.

This may mean that that the potential number of those affected is much larger than the 13 deaths and 32 crashes that GM has previously admitted are linked to the faulty ignition. The Los Angeles Times reported in March that there could be as many as 303 deaths linked to those faulty ignition switches. This was based on a new report commissioned by the Center for Auto Safety, an independent watchdog group. GM vigorously challenged the report, stating that other issues could also have caused the 303 deaths. […]

GM using service bulletins to report recalls

GM’s announcing of recalls by service bulletins to car dealers and owners is not an effective way of informing the public of serious problems that may cause car accidents and compromise the safety of the person driving, as well as other passengers in the vehicle.

Over the past year, GM has recalled vehicles due to an array of safety issues, including problems with airbags, power steering, and electrical systems. These recalls were preceded by countless bulletins alerting of the problems months or years in advance, yet not ordering repairs, according to regulatory findings.

Technical service bulletins are only meant to alert dealers, and occasionally car owners, about minor problems, like a faulty interior light or air conditioner. They are not intended to address serious safety issues, which according to the law, must be handled by recalls.

In just one instance, the company released three bulletins starting in 2005 addressing the problems for power steering in the Saturn Ion, […]

GM Accused of Cover-up in Faulty Ignition Switch Recall. Chevy Cobalt Subject of Many Investigations.

Senators grilled General Motors CEO Mary Barra this week about the years of delays in recalling vehicles with faulty ignition switches, and accusing GM of a cover-up to hide the problem that caused at least 13 fatal accidents.

Bara told the house committee that she first heard there was a problem with the Chevrolet Cobalt in December, while GM’s senior management was apprised of the full matter on January 31, when the company announced its initial recall of Chevrolet, Saturn, and Pontiac vehicles.

Senator Richard Blumenthal of Connecticut spoke up during the senate hearing telling Barra that he though “it’s pretty much incontrovertible that GM knew about the safety defect, failed to correct it…and then concealed it from the courts and the United States.”

Internal documents show the company knew about problems with the switch for at least a decade, but recalls did not begin until this February. […]