WASHINGTON, D.C. (WXYZ) - The United States Department of Transportation announced today new information regarding their GM ignition switch recall investigation.
They said GM agrees to pay a record, maximum $35 million penalty for violating federal safety laws, and also to have unprecedented oversight requirements in the investigation.
"Safety is our top priority, and today’s announcement puts all manufacturers on notice that they will be held accountable if they fail to quickly report and address safety-related defects,” said U.S. Transportation Secretary Anthony Foxx.
Foxx added that they sent their Growing America Act to congress, which would raise the maximum penalties for offenses from $35 million to $300 million.
Also, GM will have to make significant and wide-ranging internal changes to it's review of safety-related issues in the United States, and improve its ability to take into account the possible consequences of potential safety-related defects.
“No excuse, process, or organizational structure will be allowed to stand in the way of any company meeting their obligation to quickly find and fix safety issues in a vehicle,” said NHTSA Acting Administrator David Friedman.
GM will also pay additional civil penalties for failing to response on time to the agency's document demands during NHTSA's investigation.
“We have learned a great deal from this recall. We will now focus on the goal of becoming an industry leader in safety,” said GM CEO Mary Barra. “We will emerge from this situation a stronger company.”
Barra says the company's ultimate goal is to create an exemplary process and produce the safest cars.
Many put off retirement, take 'encore' jobs
After Fred Wallace was laid off from a high-paying job in 2011, the 56-year-old knew the odds of landing a comparable position were slim.
The states with the most student loan debt
Here are the 10 states where federal student loan borrowers have the greatest debt burden.
Get debt down with balance transfer?
Should you consider a balance transfer? Find out what a Bankrate.com expert has to say.
14 things you need to do to be a financial adult
Whatever your financial situation, you can begin taking steps to become an independent financial adult.