Attempting to frame the probe as an independent inquiry, the company hired former federal prosecutor Anton Valukas, chairman of law firm Jenner & Block, to lead a group of internal and third-party attorneys.
Valukas was tasked with examining the Lehman Brothers bankruptcy in 2009, resulting in a 2200-page report that detailed how the company’s internal procedures led to its collapse during the financial crisis.
Documents show that GM was aware of the ignition-switch defect as early as 2004, however the company decided against a formal recall. Defective switches shifting to the off or accessory position during vehicle operation, shutting down the engine and disabling the airbags, were subsequently associated with at least 31 accidents and 13 fatalities over the next five years.
The National Highway Traffic Safety Administration sent the company a list of over 100 questions related to the recall, demanding a deeper explanation of the problem, names of individuals involved in the decision-making process and other information.
GM currently faces at least one lawsuit from the family of a driver who was killed in an accident that was blamed on the defect. Recent reports suggest the automaker may be shielded from liability due to the terms of its 2009 bankruptcy.
“GM is focused on ensuring the safety and peace of mind of our customers involved in the recall,” the company said in a statement, as quoted by The Wall Street Journal. “It is true that new GM did not assume liability for claims arising from incidents or accidents occurring prior to July 2009.”
Automakers are also required to notify the NHTSA of any defects within five days of discovery. Fines for violating the regulations can reach up to $35 million, but in this case the company may only face a maximum penalty of $17.5 million due to the year of such violations.
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