General Motors settled a lawsuit over the failure to disclose faulty ignition switches that affected over 2.6 million cars and killed 124 people.

General Motors and the Justice Department have finally reached a settlement after the company recalled 2.6 million vehicles with faulty ignition switches in 2014.

The Long-Awaited Settlement

GM admits to knowing about the defects but still allowed the cars to be to be sold, despite the dangers. The faulty ignition switches haver reportedly caused 124 deaths and 273 injuries.

A criminal case was brought against GM for failure to obey federal laws that require a transparent disclosure of safety problems. Prosecutors said the company knew about the defects for over a decade before coming clean.

GM will pay the Justice Department $900 million in fines. Almost 1,000 civil and class-action lawsuits have also been settled, with $575 million budgeted for private lawsuits. Many victims are upset that individual employees aren’t being investigated, prosecuted and fined.

The company launched a GM Ignition Compensation Claims Resolution Facility website to assist customers with replacing the faulty ignition switches. The worst scandal in the company’s history may finally be settled.

The post GM Settles Criminal Case Over Faulty Ignition Switches appeared first on Citizens Report.

Good on GM for issuing a recall that should hopefully correct this problem. However, GM is a little late to the party.

Investigative research done by Reuters has discovered that complaints about the faulty ignition were made SEVENTEEN years ago! In April of 1997, a New Jersey woman filed a complaint to the National Highway Traffic Safety Administration reporting that her 1997 Malibu continuously left her stranded. Seven times she was unable to start her car because her key would get stuck in the ignition and be unable to be turned.

Her dealer replaced her faulty ignition not once, but twice. Not only was the initial replacement ignition defective, but so was the replacement to the replacement. Three ignition cylinders…all three faulty.

Her’s was not a lone case. Others filed similar complaints, yet GM did not find it necessary to issue a recall until now…after 13 deaths have already been linked with the faulty ignition switches.

This current recall is not the first for GM this year. GM first recalled 2.6 million vehicles, then they recalled 1.5 million vehicles, and just recently they recalled every Camaro made since 2010.

GM car owners are encouraged to visit GM’s recall website.

The post Better Late Than Never: GM’s 17 Year Wait To Recall appeared first on Citizens Report.

The big automaker also said it will take a $300 million charge against first-quarter earnings to pay for the four recalls.

GM said the trio of new recalls is “a result of (CEO) Mary Barra’s request for a comprehensive internal safety review following the ignition switch recall.”

VIDEO: GM CEO Mary Barra offers video update on switch recall, company improvement efforts

Last month’s switch recall of 1.62 million vehicles worldwide has triggered federal investigations into why GM knew of a switch problem as early as 2001 but recalled the cars only last month. Twelve deaths and 31 crashes have been linked to the switch recall.

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