General Motors Co. CEO Mary Barra is taking steps to help her company avoid Toyota’s fate.
Bloomberg reports that Barra spoke Tuesday at GM headquarters in Detroit for the first time since the automaker issued a recall for 1.6 million cars due to an ignition flaw that has resulted in 31 accidents and 12 deaths.
In addition to apologizing for the injuries and loss of life caused by mechanical problems, Barra said there are “no sacred cows” when it comes to the internal investigation the company has launched in connection with the massive recall. Jenner & Block chairman Anton Valukas, former United States attorney for the Northern District of Illinois and the court-appointed examiner in the Lehman Brothers bankruptcy, has been retained to lead that inquiry, and Barra said the company will not take any steps until he completes what Bloomberg reports could be a months-long probe.
“I want to start by saying again how sorry I am personally and how sorry General Motors is for what has happened,” Barra was quoted by Bloomberg as saying. “Clearly lives have been lost and families are affected, and that is very serious. We want to just extend our deep condolences for everyone’s losses.”
Investigators are reportedly looking into GM’s actions around the issue, which was first observed more than then years ago, as they did in a similar matter involving Toyota, which reached a $1.21 billion settlement with federal authorities Wednesday in connection with an investigation with sudden acceleration problems with some of its vehicles.
In Toyota’s case, the Department of Justice found that the carmaker did not take those problems seriously, and sought to placate and mislead the public and investors instead of dealing with it honestly, which led to more accidents and deaths. U.S. Attorney General Eric Holder warned in a press conference Wednesday, “Other car companies should not repeat Toyota’s mistake.”
