US Attorney's Office Consider Charging General Motors With Criminal Wire Fraud

Cameron Aubernon
by Cameron Aubernon

Federal prosecutors in New York are considering criminal wire fraud charges against General Motors over its role in the February 2014 ignition recall.

The U.S. Attorney’s Office for the Southern District of New York are also considering other charges against GM, though they hope to reach a settlement with the automaker by late summer or early fall of this year, Reuters reports.

The basis for the wire fraud claim is linked to the prosecutors’ findings suggesting GM possibly hid information about the defects in the ignition switches installed in 2.66 million vehicles made in the early through mid-2000s, as well as made misleading statements on the issue.

The yet-to-be-finalized action is one more legal action GM has on its plate, following numerous civil lawsuits, over 4,300 compensation claims, and an ongoing criminal probe set to conclude the interview phase by October.

As far as settlements with the government are concerned involving the wire fraud charge, CEO Mary Barra informed shareholders her company fully cooperated with the U.S. Attorney’s Office, and any settlements to be made would occur on the company’s timeline.

[Photo credit: John Marino/ Flickr/ CC BY-SA 2.0]

Cameron Aubernon
Cameron Aubernon

Seattle-based writer, blogger, and photographer for many a publication. Born in Louisville. Raised in Kansas. Where I lay my head is home.

More by Cameron Aubernon

Join the conversation
  • OneAlpha OneAlpha on Jun 10, 2015

    I'd like to know when the same laws that sent Bernie Madoff to prison will be used to put truly big-time crooks like Nancy Pelosi and Chuck Schumer behind bars. After all, Madoff defrauded Americans of only $65 billion. How many trillions have the Democratic party stolen from the American population, through the various laws they've passed over the decades?

    • See 7 previous
    • JimC2 JimC2 on Jun 11, 2015

      @28-Cars-Later "throwing bogus charges they think they can make stick in order to secure a conviction" Yup. Remember how they took down Al Capone? Nothing new with this strategy. I'm imagining screaming monkeys throwing stuff.

  • SCE to AUX SCE to AUX on Jun 10, 2015

    Didn't this same thing happen in "The Firm", including mail fraud?

    • 28-Cars-Later 28-Cars-Later on Jun 10, 2015

      It did, and it was Tom Cruise's way of giving Ed Harris a case in complicity against his firm instead of going after the mafia as Harris had wanted.