General Motors Co. rejected a request by two U.S. senators to
extend their ignition switch compensation fund claim deadline for a
second time.
"Our goal is to be just and timely in compensating the families
who lost loved ones and those who suffered physical injury," GM
said in a statement Wednesday. "We have conducted extensive
outreach about the program. We previously extended the deadline
until January 31, and we do not plan another extension."
The auto maker extended the deadline last month to Saturday from
Dec. 31 after it was reported that a potential victim eligible for
a payout didn't have enough time to submit a claim. All claims must
be postmarked or submitted electronically through the fund's
website by Jan. 31.
U.S. Sens. Richard Blumenthal (D., Conn.) and Edward J. Markey
(D., Mass.) sent the letter to GM Chief Executive Mary Barra asking
that the deadline be extended until the Justice Department
completes its investigation into the recall delay.
"Injured parties do not know enough about their legal rights or
facts to make an informed decision. Indeed, they cannot have
sufficient information until the DOJ concludes its criminal
investigation...," according to a copy of the letter. "While we
appreciate your company's voluntary commitment to the compensation
fund, to truly live up to the promises you have made to the
American public in the wake of the ignition switch recalls, G.M.
must reconsider the deadlines associated with the fund."
The GM Ignition Compensation Claims Resolution Facility,
administered by Kenneth Feinberg and Camille Biros, received 3,068
claims as of Friday. The fund has confirmed 50 eligible death
claims and 75 eligible injury claims. Those who accept the payouts
waive their rights to sue GM.
Ms. Biros had no comment.
GM mailed 5.3 million letters to current and former owners of
the 2.6 million vehicles covered under its ignition switch recall.
The auto maker recalled the cars last year although the issue had
been flagged as far back as 2003.
GM's own engineers discovered that too much weight on or a
jarring of the ignition key would cause the switch to slip from
"run" to "accessory" thereby cutting power to the air bags and
electric steering.
Ms. Barra created the fund on Aug. 1 in response to the auto
maker's failure to recall. It also hired Chicago lawyer Anton
Valukas to conduct an independent investigation. He found the issue
was handled with ambivalence and never passed up the management
chain. Ms. Barra dismissed 15 employees.
Write to Jeff Bennett at jeff.bennett@wsj.com
Access Investor Kit for General Motors Co.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US37045V1008
Subscribe to WSJ: http://online.wsj.com?mod=djnwires