U.S. House Committee to Investigate GM Recall

By | March 11, 2014
Over the past few weeks, we've been hearing news of General Motors announcing a massive recall to fix issues related to the ignition switch in select vehicles. Yesterday we received news that GM may not be liable for the deaths and accidents associated with the affected vehicles thanks to its bankruptcy pact. Now, the U.S. House Energy and Commerce Committee is stepping in to investigate the situation. The automaker's reputation has been called into question, and depending how the company responds to the recall and government investigation, it may be tarnished. In the last few weeks, GM has responded "without hesitation," according to GM CEO Marry Barra. Currently, the company is compiling a timeline related to the February 25 recall expansion. Not only is GM's reputation under fire, according to Reuters, "the U.S. attorney's office in New York has opened criminal probe of General Motors Co. related to ignition switch recall." Prosecutors are gathering information to see if GM is criminally liable for not previously disclosing the ignition switch issues that caused the death of at least 13 individuals. The House Committee will hold hearings that will include officials from both GM and the National Highway Traffic Safety Administration (NHTSA), but no date has been set. U.S. Representative Fred Upton questioned in a statement released on Monday if either party missed something that could have brought the issue to light sooner. "If the answer is yes, we must learn how and why this happened, and then determine whether this system of reporting and analyzing complaints that Congress created to save lives is being implemented and working as the law intended." Source: Automotive News (Subscription Required), Reuters
 
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