General Motors Under Fire Again Due to Vehicle Recall Problems
Colorado Congresswoman Diana DeGette cited a General Motors document from 2005 that stated the fix would have cost 57 cents. A series of emails between GM employees from 2005 also showed that the ignition switch change would have cost 90 cents, along with additional tooling costs of $400,000. The email exchange also showed that engineer John Hendler and his team were prepared to continue using the switch, sold to GM by Delphi Automotive, even though Delphi told GM in early 2002 – 3 years before the email debate – that the switch did not meet GM’s performance standards.
Lori Queen, a GM executive, allegedly responded “I’m not sure it’s ok to wait,” to Hendler, but she did not explain herself.
Further documents filed by the company show that the ignition switch used in GM vehicles was changed in 2007.
On Thursday, April 10th, GM reportedly suspended two engineers, with pay, as part of its internal investigation into the vehicle recall and ignition switch problems.
“This is an interim step as we seek the truth about what happened,” G.M.’s chief executive, Mary T. Barra said in a statement issued by the company. “It was a difficult decision, but I believe it is best for G.M.”
Investigators briefed on the matter reported that the engineers were Raymond DeGiorgio, the lead ignition switch engineer for small cars including the Cobalt, and Gary Altman, an engineering manager for the Cobalt.
“G.M. must embrace a culture where safety and quality comes first,” Ms. Barra told employees. “G.M. employees should raise safety concerns quickly and forcefully, and be recognized for doing so.”
NHTSA Fines GM Thousands per Day for Vehicle Recall Information Delays
The National Highway Traffic Safety Administration reported on Tuesday, April 8th, that it is fining GM $7,000 per day because the company did not fully respond to the agency’s request for information related to the ignition switch vehicle recall.
Reportedly, the NHTSA sent a letter to GM stating that the company owes $28,000 already for failing to meet an April 3rd deadline, and the company is being fined $7,000 for every day it continues to delay sending the information.
GM released a statement saying that it had, in fact, fully complied with the NHTSA’s vehicle recall information request. “We will do so with a goal of being accurate as well as timely,” the statement said, giving no indication of when GM would fully comply.
So far, the company has produced 21,000 documents, totaling 271,000 pages, related to the delayed vehicle recall that resulted in 13 driver deaths.
The Strom Law Firm Can Help with Defective Products and Vehicle Recall Cases
If you have experienced a problem with a defective product in your automobile, especially if a defective part has led to an auto accident or personal injury, and a proper vehicle recall notice has not been issued, you may be entitled to compensation. The attorneys at the Strom Law Firm can help. We can help you with complicated auto insurance claims, and make sure you receive the compensation you deserve to help you with lost income and medical bills. Our attorneys are licensed to practice in South Carolina, Georgia, and New York. We offer free, confidential consultations to discuss the facts of your case, so contact us today at (803) 252-4800.