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GM Update: New Racketeering Claims against GM in Ignition Lawsuits

An expanded class action complaint was filed in a federal court in New York against General Motors by consumers represented by co-lead counsel Hagens Berman and Lieff Cabraser late on Friday afternoon which consist of RICO (Racketeer Influenced and Corrupt Organizations) claims against New GM based on new information from the lawsuit’s discovery phase that indicates New GM committed mail and wire fraud in relation to their faulty ignition switches which have caused hundreds of car accidents and over 100 fatalities.

The amended lawsuit for personal injury, wrongful death and declining car values, is now accusing GM of conspiring with the outside law firm of King & Spalding LLP and claims administrator ESIS to hide safety defects in millions of vehicles.

“This amended complaint was filed to meet the court’s deadline,” a GM spokesman said. “It contains no new information. We look forward to setting the record straight in court.”

As of late, GM has not been charged with criminal misconduct by any government authorities, and there is no reassurance that these new claims will be successful.


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