Skip to comments.Inquiries at General Motors Are Said to Focus on Its Legal Unit
Posted on 05/17/2014 11:40:04 AM PDT by jazusamo
DETROIT As General Motors faces a number of continuing investigations into its handling of a vehicle safety defect linked to 13 deaths, its legal department has become a focus of a broad internal inquiry into how the company handled the issue, according to two people with knowledge of the investigation.
Even as G.M. acknowledged that it knew about the defect for more than a decade, it has insisted that work on the ignition problem was limited to a handful of midlevel employees. But a review of internal documents, emails and interviews paint a different picture, showing that high-ranking officials, particularly in G.M.s legal department, led by the general counsel Michael P. Millikin, acted with increasing urgency in the last 12 months to grapple with the spreading impact of defective ignition switches.
A number of departments in the company stepped up efforts to fix the switches once depositions threatened to ensnare senior officials.
And as the automaker finally began to face up to the issue, G.M. lawyers moved to keep its actions secret from families of crash victims and other outsiders.
G.M. declined to make Mr. Millikin or any other executives available for interviews. Since the recall began, four senior executives have resigned or left the company, including a top engineer, Jim Federico, who avoided being deposed in a lawsuit last summer when G.M. lawyers suddenly settled a case tied to a defective ignition switch.
Despite its agreement on Friday to pay a $35 million penalty imposed by federal regulators, the automaker faces several investigations, including from the Justice Department and the Securities and Exchange Commission, intently focused on whether G.M.s top officers deliberately ignored the need to fix faulty ignition switches in some of its vehicles.
(Excerpt) Read more at nytimes.com ...
Finally, a bit of traction.
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A $35 million fine is hardly petty cash for GM.
People have died as a result of GM’s inaction.
I am sick and tired of large corporations “getting away” with what amounts to criminal behavior and just being fined for it.
How ‘bout we start throwing some of these responsible executives in jail? Perhaps then they will be more careful.
Agreed...By GM keeping quiet on this even after they changed the ignition switch cost lives, in my book that’s criminal.
What did Obama know, and when did he know it. What did the bankruptcy judge know, and when did he know it. And what did Holder know, and when did he know it.
Three questions you can count on the Republican congressional leadership not asking.
Don’t forget that little weasel Steve Rattner.
Last few times he’s been on Morning Schmoe, he’s acted like he had a puckered orifice.
Let’s pursue this & see how far up the ladder it goes.
the good part is they have already stolen my GM bonds and can’t get any more when they die this time
I hear you...For that there should be people in a federal slammer, including the bankruptcy judge.
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