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GM To Pay $900 Million Due To Defect That Killed 124 People

GM To Pay $900 Million Due To Defect That Killed 124 People


General Motors have been thrust into the media limelight for negative reasons yet again, after 124 people were killed due to a problem in the ignition-switch in many of their automobiles. This particular problem manifested itself in dangerous ways, causing engines to unexpectedly shut down and brakes to disable themselves, resulting in the death of 124 people. The automobile giants are expected to pay $900 million in order to end a U.S Government investigation regarding the matter.

This deal was announced by Prosecutors on Thursday, which means that GM will charged for hiding the defect from regulators and the general public. This is only the latest dilemma to haunt the company as they only recently recovered from a massive recall in 2014. Over 2.6 million cars were recalled by GM last year in order to unsurprisingly fix faulty switches itself. This problem has not only killed 124 people so far but has also injured close to 300 people as well. GM is facing multiple law-suits over this problem and should be severely reprimanded over this gross negligence.