U.S. Sen. Edward J. Markey blasted embattled General Motors yesterday for seeking immunity against lawsuits stemming from faulty ignition switches tied to at least 13 deaths, even after accepting the $50 billion in government bailout money that saved the company.
"Given the fact that the company is solvent only because of taxpayers, it's morally wrong for them to turn and to say they have no responsibility for the harm that was done to families all across the country, driving around in unsafe vehicles that General Motors knew was unsafe," Markey told the Herald.
GM filed a motion late Tuesday in U.S. District Court to shield the company from lawsuits against actions before its 2009 bankruptcy, which critics argue is a blatant attempt to block claims over defective ignition switches that disabled engines and airbags and prompted the February recall of 2.6 million vehicles.
"I think they'll lose a full generation of customers ... because that's the definition of corporate cowardice," said Robert Hilliard, a Texas attorney who has filed a class-action lawsuit on behalf of accident victims, including the sister of a Boston College graduate assistant football coach. "To me, it's the old GM whispering in the new GM's ear."
GM took a further hit yesterday as two safety advocates claimed in a letter the automaker rejected a safer ignition switch design because it was too pricey.
"General Motors picked a smaller and cheaper ignition switch that cost consumers their lives and saved General Motors money," wrote Clarence Ditlow of the Center for Auto Safety and Joan Claybrook, formerly of the National Highway Traffic Safety Administration.
Markey noted GM is now rocketing to record-high profits.
"GM has a responsibility to make sure that they take care of those families that are harmed from the affected vehicles they had been making," Markey said.
GM CEO Mary Barra two weeks ago apologized for the botched recall and told a congressional panel: "Today's GM will do the right thing."
GM spokesman Jim Cain said an internal review by former U.S. Attorney Anton Valukas will explore the switches and is expected within 45 to 60 days.
He declined to comment on the filings seeking a shield from lawsuits.
"GM has both civic and legal obligations in regard to this matter," he said. "It is why we have retained Kenneth Feinberg to help us explore our options as we move through this recall process."
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