~ Auto Buzz ~: Execs Refusing To Disclose Defects Won’t Go to Jail Anytime Soon

Wednesday, 22 July 2015

Execs Refusing To Disclose Defects Won’t Go to Jail Anytime Soon



General Motors CEO Mary Barra Testifies Before Senate Committee About GM's Recalls

A U.S. Senate committee has shot down a number of auto safety measures including one that would hold executives criminally accountable for not disclosing known automotive defects, reports the New York Times.

“Hiding these deadly defects with near impunity is what the industry has succeeded in doing,” said Sen. Richard Blumenthal, D-Conn., according to the story. He introduced many of the failed provisions.

Another proposal that would have made it illegal for used-car dealers to sell vehicles with outstanding recalls was rejected by the committee.

There were a few wins for Democrats backing stiffer penalties, however, as a proposal to raise the maximum civil penalty against automakers from $35 million to $70 million gained approval, as did a measure to ban rental car companies from renting vehicles with open recalls.

Two other proposals were withdrawn before they could be rejected. Sen. Ed Markey, D-Mass., said he would likely propose them later as amendments directly on the Senate floor.

The post Execs Refusing To Disclose Defects Won’t Go to Jail Anytime Soon appeared first on The Truth About Cars.

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