GM CEO Barra, Valukas To Testify Before Congress Next Wednesday

(RTTNews) - General Motors Co. (GM) CEO Mary Barra and Anton Valukas, the head of the company's internal recall investigation, will appear on June 18 before the House Energy and Commerce Committee's Oversight and Investigations subcommittee for further questioning related the ignition switch recall probe, the panel said Wednesday.

"Earlier this year, Ms. Barra testified that she would not be able to answer certain questions until the company's internal investigation was complete. Next week we will have the chance to get those answers and compare the company's findings to our own," said full committee Chairman Fred Upton and Oversight and Investigations Subcommittee Chairman Tim Murphy.

"Mr. Valukas' exhaustive report revealed disturbing truths about GM's systemic and cultural failures that allowed this problem to go undiagnosed for over a decade, but many questions remain unanswered about the recalls and resulting changes within the company. This testimony by Barra and Valukas is a critical step in our ongoing investigation to uncover the facts as we determine what went wrong and what we can do to prevent future tragedies," added Upton and Murphy.

In March, the House Energy and Commerce Committee started an investigation into the GM's and the National Highway Traffic Safety Administration's response to consumer complaints related to stalling, airbag non-deployment, and ignition switch problems. The automaker first announced a recall in February to correct the problems, but reports indicate drivers first complained of the safety issues over a decade ago.

The delayed recall was for about 2.6 million Chevrolet Cobalts, Saturn Ions and other models for faulty ignition switches that are said to have caused at least 13 deaths and 42 crashes.

Last month, GM agreed with the NHTSA to pay a fine of $35 million for the delay in recalling vehicles that had ignition switch defect.

On Thursday, GM released a report on an internal probe that attributed incompetence and neglect for the delayed recall. Following the probe, 15 GM employees who were determined to have acted inappropriately were dismissed. Disciplinary actions have been taken against 5 other employees.

In early April, CEO Barra testified before the U.S. House committee regarding the delayed ignition switch recalls. At the time, she deferred many questions pending the completion of the internal probe by Valukas.

GM shares are currently trading at $36.17, down 23 cents.