General Motors CEO has testified before Congress, reiterating statements that were published yesterday and announcing plans to compensate customers who own vehicles affected by the ignition-switch recall.
The company has hired attorney Kenneth Feinberg, architect of the September 11 Victim Compensation Fund, to oversee the efforts. Following the terrorist attack, he was tasked with creating a system to manage claims and calculate compensation.
“Today we will ask what GM and NHTSA are doing, not just to fix the car, but to fix a culture of trust within a business and government regulator that led to these problems,” said Pennsylvania Rep. Tim Murphy.
Barra — accompanied by GM general counsel Mike Milliken – dodged many specific questions about the recall handling, frequently reiterating that the company’s own investigation is still trying to find the answers.
The chief executive did admit that revising the part without changing the part number was an “unacceptable practice” and “not how we do business.” The move led the company to recently recall any newer vehicles that may have been unknowingly repaired with the old part.
When asked about an internal GM document that raised concerns over the switch design, but rejected a redesign because it did not present a clear “business case,” Barra admitted that the correspondence is “very disturbing” and “inconceivable.”
Many of the same questions are expected to be asked tomorrow at a Senate subcommittee.
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