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GM’s Cruise Fined $2 Million For Falsifying Crash Records

Written by CarPro | Nov 19, 2024 6:51:39 PM

 

San-Francisco based Cruise, LLC,  majority-owned by General Motors, has agreed to pay $2 million in fines to the federal government for failing to fully report a crash involving a pedestrian who was then dragged approximately 20 feet in October of 2023.

Fine #1: Cruise is being fined $1.5 million by the National Highway Transportation Safety Administration (NHTSA) for submitting two reports that failed to disclose the post-crash details of an Oct. 2, 2023, crash in which a Cruise self-driving vehicle equipped with an ADS and operating without a driver dragged a pedestrian approximately 20 feet before coming to a complete stop.  Under the consent order, Cruise is also required to submit to NHTSA a corrective action plan on how it will improve its compliance with the Standing General Order. 

“It is vitally important for companies developing automated driving systems to prioritize safety and transparency from the start,” NHTSA Deputy Administrator Sophie Shulman said. “NHTSA is using its enforcement authority to ensure operators and manufacturers comply with all legal obligations and work to protect all road users.” 

Read all the details in the NHTSA press release here. 

Fine #2:  Additionally, as part of a deferred prosecution agreement, Cruise has admitted to charges of submitting a false report and agreed to pay a $500,000 criminal fine levied by the United States District Attorney's Office Northern District of California for providing a false record to NHTSA with the "intent to impede, obstruct, or influence the investigation" of a crash involving one of Cruise’s autonomous vehicles.   The issue stems from Cruise failing to disclose that the pedestrian was dragged by the vehicle 20 feet because the vehicle's detection system did not detect she was underneath the vehicle. While U.S. government officials say Cruise provided NHTSA with a copy of the video that showed the dragging, they say the company didn't correct the accident report or the disclosure in a later report submitted 10 days after the accident.

“Federal laws and regulations are in place to protect public safety on our roads.  Companies with self-driving cars that seek to share our roads and crosswalks must be fully truthful in their reports to their regulators,” said Martha Boersch, Chief of the Office of the U.S. Attorney’s Criminal Division.

Under the three-year deferred prosecution agreement, Cruise is required to pay a $500,000 criminal fine, cooperate with government investigations, implement a Safety Compliance Program, and provide annual reports to the United States Attorney’s Office on implementation and remediation. If Cruise fails to completely perform or fulfill its obligations, the U.S. Attorney’s Office can proceed with prosecution of the charged offense. Read the Cruise LLC Agreement here.

Read the U.S. Attorney's Office November 14, 2024 press release here.  

Photo Credit:  Cruise, LLC.