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GM Said to Release Report on Ignition Recall Tomorrow

June 4 (Bloomberg) -- General Motors Co. tomorrow will reveal the findings of its internal investigation into why it took more than a decade to recall vehicles linked to fatal flaws, said a person familiar with the matter.

GM Chief Executive Officer Mary Barra is holding town hall meeting with employees tomorrow in Warren, Michigan, at 9 a.m. New York time, followed by a news conference, the Detroit-based company said in a release today. The largest U.S. automaker aims to fully explain what went wrong and how it plans to address the situation, said the person, who asked not to be identified because the plan is private. The report arrives as Congress and the U.S. Justice Department continue to investigate GM over the handling of the recalls.

Anton Valukas, chairman of law firm Jenner & Block LLC, was hired by Barra to lead an internal investigation into why the automaker took so long to recall 2.59 million small cars linked to at least 13 deaths. GM began recalling the vehicles in February, though the issue was first noticed as far back as 2001.

National Highway Traffic Safety Administration last month fined GM $35 million, the maximum allowed. Regulators found systemic problems throughout the organization, NHTSA Acting Administrator David Friedman said May 19 at a news conference.

“General Motors’ decision making, structure and process stood in the way of safety at a time when air bags were failing to work properly in millions of GM products,” Friedman said.

In addition to the fine, GM’s agreement with regulators includes “significant and wide-ranging internal changes” to how it reviews safety issues and decides on recalls, the Transportation Department said in a statement.

GM General Counsel Michael Millikin co-led the investigation with Valukas, who served as a Justice Department-appointed examiner of the downfall of Lehman Brothers Holdings Inc.

Lawmakers in Congress have signaled they plan to call Barra back to testify before them after the report is released for further questioning.

To contact the reporter on this story: Tim Higgins in Southfield, Michigan, at

To contact the editors responsible for this story: Jamie Butters at Niamh Ring

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