GM agrees to pay $35 million federal fine for concealing defects in small-car ignition switches

GM agrees to pay $35 million federal fine for concealing defects in small-car ig

In a move which marks the end of one segment of General Motors' (GM) recall saga, the US automaker has agreed to pay a $35 million federal penalty for concealing ignition-switch defects in its small cars.

Along with agreeing to pay the hefty fine - which, incidentally, is the largest ever penalty assessed by the US National Highway Traffic Safety Administration - GM has also agreed to give the government an increased oversight of its safety procedures.

Moreover, GM has also acknowledged the fact that it violated the law by failing to timely inform the government about the ignition-switch flaw affecting its small cars.

The defect has, as per the automaker, led to at least 13 deaths in crashes. However, trial lawyers suing the company claim that at least 53 people died as a result of the crashes resulting from the ignition-switch defect in GM's small cars.

While agreeing to pay the $35 million fine, GM has also asserted that it will report safety issues a lot faster. The recall of 2.6 million small cars was announced by the company this February, more than a decade after engineers the flaw in ignition switches was detected by the GM engineers.


User login



You May Have Missed...

NPD Group: Nintendo 3DS handheld topped hardware and software sales charts in Ju
Fri, 08/19/2016 - 10:47

According to the latest statistics released by the analysis firm NPD Group, Nintendo’s 3DS handheld gaming console bagged the top-notch position...


Nigeria Update

Fresh Polio Cases lead to WHO Travel Restrictions on Pakistan and Syria
Tue, 05/06/2014 - 00:45

World Health Organization has slapped international travel restrictions on Pakistan, Cameroon...


Economy Watch

US Import Prices decline in April
Thu, 05/14/2015 - 01:13

For a straight 10th month, US import prices declined in April. The decline could be due to the...


Health Tonight

More than expected rise in US maternal death rate: Study
Tue, 08/09/2016 - 11:21

A rise has been witnessed in the US maternal death rate, women who die during or soon after...


UK News

How a Comet smells? Here’s a Perfume That Mimics the Smell
Wed, 06/29/2016 - 12:41

You may not be able to visit a comet in your life, but you can know how it smells. A British...


Pharmaceuticals

Aetna
Sat, 01/17/2015 - 06:04

Aetna inc., health care company, on Friday announced that it has signed a deal with Gilead...


US News


Technology Tonight

Twitter is reportedly readying Apple TV version of its app
Tue, 08/16/2016 - 11:41

In a Monday report, the New York Times said that popular microblogging service Twitter is...