GM self-driving unit Cruise admits to submitting false report, will pay $500,000 fine By Reuters

From Investing.com: 2024-11-14 20:50:33

General Motors’ self-driving car unit, Cruise, will pay a $500,000 criminal fine for submitting a false report to the National Highway Traffic Safety Administration regarding a 2023 crash where a robotaxi struck a pedestrian in San Francisco. Cruise must cooperate with investigations and implement a safety compliance program under a three-year agreement.

Following the incident, Cruise’s CEO and co-founder resigned, and the company cut a quarter of its workforce, firing nine executives. The robotaxi stopped after hitting the pedestrian but dragged her underneath, seriously injuring her. GM reached a settlement with the woman worth at least $8 million.

In addition to the criminal fine, Cruise agreed to pay a $1.5 million fine to resolve a NHTSA investigation. The company must submit a corrective action plan to improve reporting compliance and face enhanced requirements for at least two years. NHTSA’s investigation into Cruise’s precautions with autonomous robotaxis is ongoing.

Cruise has restarted supervised autonomous driving testing in three U.S. cities and plans to offer its autonomous vehicles on Uber’s ride-hailing platform next year. The company abandoned its Origin vehicle without human controls. An SEC investigation into Cruise is also underway, and the company faces scrutiny over hard braking issues in its robotaxis.



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