Secretary of Transportation Anthony Foxx (L) and Highway Traffic Safety Administrations Acting Administrator David Friedman walk into a news conference to announce that General Motors has agreed to pay a $35 million civil penalty. (Photo: Mark Wilson/Getty Images)
HOST INTRO: Automaker General Motors has agreed to pay a 35 million dollar fine for the delayed recall of cars with an ignition switch defect. Marie Shabaya has more.
The 35 million dollar fine by federal safety regulators is maximum civil penalty that the federal government can impose. The penalty was particularly stiff because GM had known about the faulty switches for a decade, it affected close to 3 million of their smaller cars and it contributed to the deaths of at least 13 people.
US Transportation Secretary Anthony Foxx, announced the fine at a press conference in Washington this morning.
FOXX: What GM did was break the law. They failed to meet their public safety obligations. Today’s agreement doesn’t just penalise GM for inaction in the past, it also looks to the future to ensure that GM’s existing cars on the road are safe. [19s]
General Motors has had 18 recalls this year including 6 earlier this week and one today that recalled mid-sized vehicles with faulty front brakes. Marie Shabaya, Columbia Radio News