GM Confirms Several Government Investigations Into Recalls

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Mary Barra, CEO of General Motors, speaks at the 2014 Automotive Forum, Tuesday, April 15, 2014 in New York. The forum is sponsored by the National Automobile Dealers Association (NADA) and J.D. Power.

Image: Mark Lennihan/Associated Press

By Seth Fiegerman2014-04-24 21:01:38 UTC

General Motors is now the subject of five different government investigations after a series of recent recalls, the car company confirmed on Thursday.

"We are also the subject of various inquiries, investigations, subpoenas and requests for information from the U.S. Attorney’s Office for the Southern District of New York, Congress, NHTSA, the SEC, and a state attorney general in connection with our recent recalls," GM revealed in a filing. "Such investigations could in the future result in the imposition of damages, fines or civil and criminal penalties."

See also: General Motors' Brand Perception Has Fallen Off a Cliff: Report

Earlier this month, GM's CEO Mary Barra was grilled by Congress about the recalls related to a defective ignition switch that resulted in more than a dozen deaths. More recently, the company began a broader restructuring effort.

News of government investigations Thursday came at the same time that it reported its first quarter results. GM managed to eke out a small profit of $0.1 billion for the quarter despite incurring a $1.3 billion pre-tax charge related to the recalls. Total revenue for the quarter was $37.4 billion, coming in below Wall Street estimates for revenue of $38.4 billion.

GM's stock ended the day down slightly by about 0.64%.

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Topics: Business, General Motors