By Emily Flitter and Aruna Viswanatha and Ben Klayman
NEW YORK/WASHINGTON/DETROIT (Reuters) – Federal prosecutors are examining whether General Motors <GM.N> is criminally liable for failing to properly disclose problems with some of its vehicles that were linked to 13 deaths and led to a recall last month, according to a source familiar with the investigation.
The New York-based probe is in its early stages, and the source did not elaborate on the legal theory behind the potential criminal liability.
Federal investigators are reviewing information about how GM handled reports of problems with ignition switches that first came to light 10 years ago, according to the source.
The source did not want to be named because the probe has not been disclosed publicly.
GM declined to comment on Tuesday. Shares of GM closed down 5 percent to $35.18 on the New York Stock Exchange....
The bankruptcy proceedings were excuses for Jeep, too. Jeep was suppose to issue a recall for air bags and never did.
n an unusual move, (click here) General Motors CEO Mary Barra says she's personally directing the recall of 1.37 million GM cars with a potentially fatal flaw in their ignition switches — one GM has known about since 2004 but kept using at least until late 2006.
Separately, GM President Dan Ammann came close to directly blaming the "old," pre-bankruptcy reorganization GM for the recall. He told the trade publication Automotive News at the Geneva Motor Show: "This is a new leadership team. We're aiming to do things in the right way."...
