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Body shop manager stole over $500,000 worth of government trucks and parts

The US Department of Justice announced yesterday that the manager of a collision and restoration business in Virginia admitted he helped misappropriate and sell vehicles and parts from the State Department. Specifically, he sold 12 Chevrolet Suburbans, a Hummer, and $7,500 worth of tires and wheels. He pled guilty to charges to commit theft of government property and wire fraud. He will likely see 18 to 20 months in prison, a fine of $4,000 to $40,000, and has already agreed to pay restitution of $416,020 and asset forfeiture of the same amount. According to the Department of Justice, the body shop manager, James Ratcliffe, worked with the owner of the business and a State Department official, both unnamed, to obtain the property. It started with the wheels and tires, which were delivered and sold on two occasions, one in 2011 and another in 2012. The trucks came later, and were sold throughout 2011 and 2013. Ratcliffe and the shop owner kept most of the profits, and shared some of the leftovers with the government official. In addition to the vehicles that were sold, the government official also gave Ratcliffe a pair of Suburbans for his own personal use. The Department of Justice estimated the total value of the SUVs at $96,400. In total, the group misappropriated $512,420 worth of property. Related Video:

GM is the latest automaker accused of diesel emissions cheating

Volkswagen and Ram need to make room on the diesel-emissions bench for General Motors. America's largest automaker was accused in a lawsuit on Thursday of rigging hundreds of thousands of diesel trucks with at least three so-called defeat devices to ensure that the trucks would meet federal and state emission standards, even if they generated more pollution in real-world driving. According to the complaint, on-road emissions testing conducted for the plaintiffs found that Duramax-equipped trucks produced NOx pollutants, comprised of nitrogen and oxygen atoms, two to five times higher than legally permitted, and "many times" higher than their gasoline counterparts. The proposed class-action lawsuit was filed in federal court in Detroit on behalf of people who own or lease more than 705,000 Chevrolet Silverado and GMC Sierra pickup trucks fitted with "Duramax" engines from 2011 to 2016 model years. The lawsuit seeks remedies including possible refunds or restitution for lost vehicle value, plus punitive damages. It adds to legal problems for Detroit-based GM, which has already paid about $2.5 billion in penalties and settlements over faulty ignition switches linked to 124 deaths. GM joins at least five automakers whose diesel emissions have been scrutinized by regulators or consumers. They include VW, which has admitted to cheating; Mercedes-Benz parent Daimler; Fiat Chrysler Automobiles, Peugeot and Renault. GM spokesman Dan Flores called the claims "baseless," and said the trucks comply with US Environmental Protection Agency emissions standards and California's own tough standards. Shares of GM were down 69 cents, or 2.1 percent, at $32.50 in afternoon trading, after earlier falling to $31.93. The GM lawsuit was filed by several law firms, including Hagens Berman Sobol Shapiro, which helped reach multibillion-dollar settlements with VW on behalf of drivers and dealers. The case is Fenner et al v General Motors LLC et al, US District Court, Eastern District of Michigan, No. 17-11661. The named plaintiffs are Andrei Fenner of Mountain View, California and Joshua Herman of Sulphur, Louisiana. They said they would not have bought their respective 2011 Sierra and 2016 Silverado trucks, or would have paid less for them, had they known about the alleged rigging. Joseph Spak, an RBC Capital Markets analyst, in a research report said "negative publicity" from the lawsuit could drive buyers to trucks from Ford or even Fiat Chrysler's Ram.

GM recalling 521,817 cars in two campaigns

General Motors is issuing two, separate recalls covering a total of 521,817 vehicles worldwide. The larger campaign covers 468,887 units of the 2011-2012 Chevrolet Malibu. Specifically, 437,045 of these are in the US, and the rest are outside the country. In these sedans, a steel cable that connects the seat belt to the vehicle can fatigue and separate. GM knows of 36 claims about the problem but only one minor injury. According to The Detroit News, this happened when a taxi driver hit his head. To fix things, dealers will replace the "outboard lap mounting bracket," which will move the tensioner rearward. They'll also inspect and if necessary replace the steel cable and lap pretensioner. In the second campaign, 52,930 examples the 2015 Chevy Colorado and 2015 GMC Canyon have seat frame attachment hooks that were installed incorrectly during assembly. GM hasn't received any reports of crashes, injuries, or fatalities about this problem. Dealers will inspect the affected trucks and repair as necessary. GM spokesperson Alan Adler told Autoblog that he didn't yet have a specific date when affected owners would receive official mailings about either of these recalls. GM Statement General Motors is recalling 48,309 2015 model year Chevrolet Colorado and GMC Canyon midsize pickup trucks in the U.S. because certain seat frame attachment hooks were not properly attached to the vehicle body during assembly. Dealers will inspect the potentially affected seats for proper installation and repair if necessary. GM knows of no crashes, injuries or fatalities related to this condition. The total vehicle population of the recall is 52,930 including 4,620 vehicles sold in Canada. General Motors is recalling 437,045, 2011-2012 model year Chevrolet Malibus in the U.S. because the flexible steel cable that connects the safety belt to the vehicle can fatigue and separate over time as a result of occupant movement in the seat. Dealers will replace the outboard lap mounting bracket to relocate the tensioner slightly rearward. Dealers will inspect the cable and, if necessary, replace the lap pretensioner. GM knows of 36 claims, no crashes or fatalities and one minor injury reportedly related to the condition. The total vehicle population of the recall is 468,887 including Canada, Mexico and exports.