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Consumers Union on GM settlement: Consumers deserve better

September 17, 2015

WASHINGTON, DC – The Department of Justice has reached a settlement with GM in the wake of its handling of an ignition-switch defect that led it to recall millions of vehicles and was linked to more than 100 deaths. The auto maker was charged with criminal wire fraud for making misleading statements and concealing information about the faulty switch, and will pay a financial penalty of roughly $900 million. The deal, however, does not include charges against individual GM employees.

William Wallace, policy analyst for Consumers Union, the policy and advocacy arm of Consumer Reports, said, “This settlement is disappointing. Consumers deserve better. We need stronger laws to ensure corporate executives who hurt people pay the price.”


Contact:  David Butler, dbutler@consumer.org or Kara Kelber, kara.kelber@consumer.org202-462-6262