GM to pay millions over delayed recall

Written By limadu on Jumat, 16 Mei 2014 | 21.29

gm headquarters recall

General Motors has reached a settlement with federal safety regulators over its delayed recall of cars with faulty ignition switches.

NEW YORK (CNNMoney)

GM had already admitted that its employees knew of problems with the ignition switch as early as 2004. The flaw caused some cars to shut off while driving, disabling airbags, anti-lock brakes and power steering. It has been tied to at least 13 deaths. But GM (GM, Fortune 500) did not start recalling the 2.6 million cars with the ignition problems until this February.

The decade-long delay has prompted probes by the National Highway Traffic Safety Administration, as well as Congressional committees and the Justice Department. Transportation Secretary Anthony Foxx, and David Friedman, acting administrator of NHTSA, are set to hold an press conference at 11:15 a.m. Friday to make "a major announcement" regarding the probe into that delay, the agency announced early Friday. To top of page

First Published: May 16, 2014: 9:44 AM ET


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