Category Archives: litigation

More Air Bag Recalls at 7 Makers from Takata Inflators

Seven more automakers are now affected by additional recalls of airbags made by Japanese giant supplier Takata. More could be on the way. Continue reading

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GM CEO Mary Barra, Lawyer Anton Valukas to Testify Tomorrow on Internal Report over the Ignition Switch Recall Debacle

If you thought the first round of Congressional hearings was tough on GM and its CEO Mary Barra – particularly in the Senate – wait until tomorrow when The House Subcommittee on Oversight and Investigations holds a sequel called, “The GM Ignition Switch Recall: Investigation Update.” Continue reading

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More than 3 Million GM cars under latest Ignition Switch Recall

GM claimed the use of a key with a hole, rather than a slotted key, addresses the concern of key rotation due to a common road event, such as striking a pothole or crossing railroad tracks. Continue reading

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More GM Ignition Switch Recalls and Several Others

GM claimed, “The Camaro ignition system meets all GM engineering specifications and is unrelated to the ignition system used in Chevrolet Cobalts and other small cars included in the ignition switch recall.” Continue reading

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The Worst is yet to be on GM Ignition Switch Debacle

While the GM Town Hall meeting last week and the following press conference were devastating demonstrations of the complete failure of product development, legal and management executives at GM, the worst is yet to come in the deadly GM ignition switch disaster. It truly is the “switch from hell” as the GM engineer in charge of it said. Continue reading

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Center for Auto Safety Blasts Valukas Report as Whitewash

In a completely predictable move, the Center for Auto Safety, aka CAS, has called the internal GM investigation (the Valukas Report) into defective ignition switches that are responsible for at least 13 deaths, “little more than an elaborate whitewash that buys into GM’s arguments that it was a bunch of incompetent engineers, lawyers and mid-level managers who were fired as a result.” Continue reading

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AAA Want More Federal Oversight on US Auto Safety Matters

The largest motoring organization in the US, AAA, has called for more Federal government oversight of auto safety issues, a likely outcome of the Cobalt ignition switch debacle. The organization with 54 million members said it, “believes that GM’s promise of reform should be supplemented with greater federal oversight of the recall system.” AAA added, “A systemic reluctance to raise and react to critical safety concerns at GM reflects an ingrained culture that could require years to fully eradicate.” Continue reading

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Four More GM Recalls – Ignition Switch and Airbag Defects

A beleaguered General Motors is now conducting three safety recalls and one non-compliance recall on about 100,000 vehicles in the US. And – Yes – the safety defects involve ignition switch and airbag deployment defects on some of its most popular vehicles. Continue reading

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Ex Takata Exec Indicted for Seatbelt Price Fixing

Including Nakajima, 35 individuals have been charged in the government’s ongoing investigation into price fixing and bid rigging in the auto parts industry, 24 of whom have pleaded guilty or agreed to plead guilty. Of those, 22 have been sentenced to serve prison terms ranging from a year and one day to two years. Additionally, 27 companies have pleaded guilty or agreed to plead guilty and have agreed to pay a total of more than $2.3 billion in fines. Continue reading

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GM Probe on Deadly Cobalt Ignition Switches Clears Top Management as 15 Engineering, Legal, Policy Heads Roll

GM CEO Mary Barra said the Valukas findings were “extremely thorough, brutally tough, and deeply troubling. Overall the report found that, from start to finish, the Cobalt saga was riddled with failures which led to tragic results for many.” Continue reading

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NHTSA Fines GM a Paltry $35 Million for Ignition Switch Fiasco

GM also faces billions in criminal penalties. Recently Toyota Motor agreed to pay a $1.2 billion fine in a controversial plea agreement with the U.S. Department of Justice whereby Toyota Motor Corporation admits to lying to consumers and U.S. safety regulators about unintended acceleration in its cars during the fall of 2009 and early 2010. Continue reading

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Ex PetroTiger CEO Indicted for Bribery and Kickbacks

Joseph Sigelman, 43, of Miami and the Philippines, was indicted by a federal grand jury in the District of New Jersey and charged with conspiracy to violate the FCPA and to commit wire fraud, conspiracy to launder money, and substantive FCPA and money laundering violations while working for PetroTiger. Continue reading

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While Under NHTSA Investigation, Three New GM Recalls

Already enmeshed in safety investigations and employee resignations over failing to recall defective ignition switches, there are now three new GM recalls. Continue reading

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Japanese Auto Parts Maker Showa Guilty of Price Fixing

Showa Corp., an automotive parts manufacturer based in Saitama, Japan, will plead guilty and pay a $19.9 million criminal fine for its role in a price fixing conspiracy. Continue reading

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Bridgestone Exec to Plead Guilty For Price Fixing U.S. Car Parts

The Japanese auto parts price fixing scandal continues to grow with more indictments and prison time likely coming. To date, 33 people have been charged in the government’s ongoing investigation of the auto parts industry. Additionally, 26 companies have pleaded guilty or agreed to plead guilty and have agreed to pay a total of more than $2.29 billion in fines. Continue reading

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