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Fiat Chrysler pleads guilty to paying off Detroit union officials

DETROIT — Fiat Chrysler pleaded guilty to conspiracy Monday, admitting that it paid off leaders of the United Auto Workers to try to win concessions in negotiations covering thousands of factory workers. FCA's conviction follows a series of guilty pleas from UAW officials who were showered with more than $3.5 million in cash and items of value from a jointly run training center over an eight-year period. FCA stands for Fiat Chrysler Automobiles, which now is part of Stellantis, a company created by the merger of Fiat Chrysler and PSA Peugeot. “FCA violated federal labor law and undermined the collective bargaining process and the faith of the UAWÂ’s membership in their leaders,” said acting U.S. Attorney Saima Mohsin. The head of FCA labor relations, Al Iacobelli, executed the scheme with five UAW officials and a spouse, especially General Holiefield, who was a union vice president. He eliminated a $262,000 home mortgage in 2014 with training center money. Union officials used credit cards for spending sprees. “Your honor, we plead guilty,” FCA general counsel Chris Pardi told U.S. District Judge Paul Borman. Iacobelli was sentenced to 5 1/2 years in prison in 2018, but the sentence was recently reduced by 18 months due to his cooperation. Holiefield died in 2015; his wife pleaded guilty to a tax crime three years later. Holiefield's successor, Norwood Jewell, was sentenced to 15 months in prison. His plea deal listed $60,000 in meals and golf paid with training center credit cards. FCA will pay a $30 million fine to the government. An independent monitor will be appointed to oversee the end of the training center as well as handle other tasks. The government's investigation became public in 2017, but agents soon were uncovering other corruption at the UAW. Union dues were used to pay for golf, booze and vacation villas in California, and contractors were giving kickbacks for union business. Eleven officials have been convicted, including former presidents Gary Jones and Dennis Williams. They are awaiting their sentences in Detroit federal court. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Earnings/Financials Government/Legal UAW/Unions Chrysler Fiat

Junkyard Gem: 1978 Fiat 124 Sport Spider

Before the Fiat 124 Spider was a Mazda, it was the 124 Sport Spider, the two-seat convertible version of the huge-selling (in Europe) 124 sedan. Sold in the United States from the 1968 through 1985 model years (with the final few years sporting Pininfarina badges, courtesy of Malcolm Bricklin), these fan and affordable cars were once everywhere on our roads and owners have tried to hang onto them even after they break down. As a result, I see about as many 124 Sport Spiders in junkyards these days as I did 40 years ago, when you could still buy them new. Here's a little red devil of a '78 Sport Spider, found in a San Francisco Bay Area car graveyard a few years back. This car's main sales rival in the United States was the similarly fun and affordable MGB, and I still find plenty of those in the boneyards to this day. The MGB was sturdier but a bit more primitive than the Sport Spider, and both suffered from maddeningly unpredictable electrical systems. The price tag on this car was $6,495, or about $30,780 in 2022 dollars. The 1978 MGB cost $5,649 ($26,770 now) that year. If you wanted the much quicker Alfa Romeo Spider in 1978, you had to shell out $9,195 ($43,570 today). While the MGB's antiquated pushrod straight-four made just 62.5 horsepower in 1978 (yes, British Leyland claimed that half-horse), the '78 Sport Spider put out 86 horsepower from its DOHC engine. The curb weight of the Spider was lower, too (2,180 pounds versus the Brit's 2,338 pounds). This one has a much-faded 1990 San Francisco residential parking permit, for Zone C. That's the upscale Nob Hill neighborhood, where this car must have seemed a little too much on the proletariat side. These cars tend to spend decades sitting in a driveway or yard, awaiting repairs that may never come. Eventually, reality comes calling and they take that final tow-truck ride to a place like this. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Motorcars in the great European tradition.

2018 Fiat 500 minicar gets more expensive with the extra ponies

Fiat Chrysler is giving a big price increase to the 2018 Fiat 500 minicar, with its newly enhanced powertrain and other upgrades adding up to as much as a $1,500 premium over the outgoing versions. Taken together with a $250 boost to destination fees for most cars, SUVs and trucks in the FCA family, and it's going to cost quite a bit more to drive the Italian subcompact. CarsDirect reports that FCA bumped the starting price for the 2018 Fiat 500 Pop by $1,500 to $17,490 for the 5-speed manual and $18,485 for the six-speed automatic. The Fiat 500 Lounge will start at $20,990, which is also $1,500 more than last year, while the top-of-the-line 500 Abarth starts at $21,740, up $750. Those figures include the $250 higher destination fee, which FCA reportedly announced to dealers in March for most 2018 cars and trucks — for example, the destination fee on a Jeep Wrangler is now an eye-popping $1,445. The destination fee is what automakers charge to ship vehicles from the factory to dealers and isn't normally included in a vehicle's advertised price. The Fiat 500 destination fee is now $1,245, CarsDirect reports ( Autoblog sought confirmation and comment from FCA but hasn't received a response). Fiat, of course, is adding oomph to the 2018 version of the 500 via a turbocharged 1.4-liter four-cylinder engine that pushes horsepower up 33 percent to 135 ponies and 150 pound-feet of torque. It's also adding sportier suspension, brakes and exterior design, a sport-tuned exhaust and rearview camera, plus 16-inch aluminum wheels, fog lamps and a "Turbo" badge on the rear fascia. "It's important to note that we've added even more standard content in order to further enhance the fun-to-drive factor that our customers expect," spokesman Bryan Zvibleman tells Autoblog. The new price makes it more expensive than the 2019 Honda Fit, which starts at $17.085 including the $895 destination charge for a six-speed manual. It also follows a $2,000 cut in the base price of the 500 Pop for 2017. It will be interesting to see whether Fiat can hold steady on the new higher pricing without having to resort to discounts for the slow-selling minicar. FCA says overall U.S. sales of the Fiat brand fell 45 percent in April to 1,404 vehicles. According to CarSalesBase.com, the company has sold only 1,644 Fiat 500 coupes year to date, compared to 5,221 for the first four months of 2017, though the figures reflect the outdated 2017 model and don't include the five-door 500L.