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CEO Sergio Marchionne curses FCA spokesman for emissions cheating denial

WASHINGTON — Fiat Chrysler Chief Executive Officer Sergio Marchionne reprimanded the company's top U.S. spokesman for issuing press releases about Fiat's vehicle emissions practices days after Volkswagen's disclosure in September 2015 that the German automaker had used illegal software to evade emissions tests, documents released Monday show. Lawyers suing Fiat Chrysler Automobiles in a securities case filed excerpts of an email from Marchionne to Gualberto Ranieri, then the company's U.S. spokesman, in a filing in federal court in New York criticizing him for saying that the company does not use defeat devices. "Are you out of your goddam mind?" Marchionne wrote in an email on Sept. 22, 2015, adding that Ranieri should be fired and calling his actions "utterly stupid and unconscionable." The company said in a statement on Monday it was "understandable that our CEO would have a forceful response to any employee who would opine on such a significant and complex matter, without the matter having been fully reviewed through its appropriate channels." The statement added that Ranieri's comments came just days after VW's emissions issue became public "and before a comprehensive internal review and discussions with component suppliers was possible." Fiat Chrysler was sued in 2015 along with Marchionne and other executives over claims it defrauded shareholders by overstating its ability to comply with vehicle safety laws. An amended version of the complaint filed in 2017 added claims about its compliance with emissions laws. The shareholders accused the defendants of inflating Fiat Chrysler's share price by hundreds of millions of dollars from October 2014 to October 2015 by downplaying safety concerns. They said the shortcomings materialized in 2015 when the automaker was fined $175 million by the National Highway Traffic Safety Administration, and took a roughly $670 million charge for recalls. Plaintiffs filed the excerpts seeking approval to take up to 40 additional depositions, including Marchionne's. The U.S. Justice Department sued Fiat Chrysler in May 2017, accusing it of illegally using software to bypass emission controls in 104,000 diesel vehicles sold since 2014. Fiat Chrysler has held numerous rounds of settlement talks with the Justice Department and California Air Resources Board to settle the civil suit, including talks as recently as earlier this month. It faces a separate criminal probe into the matter.

NHTSA investigating why Jeep recall fix is taking so long

Jeep's saga with the National Traffic Safety Administration and the voluntary campaign to repair 1.56 million vehicles for allegedly unsafe trailer hitches, is getting yet another chapter. The controversy appeared to finally be over in January when the automaker found a supplier for the replacement parts. Nothing is ever that easy, though, and the government regulator is now requesting documents from the company to clarify why the repairs are taking so long to begin.
Jeep parent company Chrysler has until July 16 to submit documents and answers to NHTSA explaining the situation. The regulator claims that despite its compromise to inspect and repair the models with improper hitches in June 2013, Chrysler didn't find a part supplier until December and didn't order the replacements until January. The government agency believes that the first components weren't manufactured until May of this year and vehicles may not actually be repaired until as late as August. According to the report, if the Chrysler doesn't supply what NHTSA is asking for, the agency could "take additional appropriate action as warranted."
Throughout this entire process, Chrysler has asserted that the vehicles met the applicable crash test standards of the time, and it has kept NHTSA abreast of the repair activity. In a recently released statement it said that the regulator analyzed eight rear impact reconstruction tests and found the replacement hitch to be safe. To keep up with the high demand for replacements, Chrysler is working with multiple suppliers, and they are running three shifts, six days a week to get the parts ready as soon as possible.

Next Jeep Wrangler to keep solid axles

Jeep fans, you're not out of the woods yet, but the latest news is good: Automotive News reports that the next-generation Wrangler will stick with floating solid axles front and rear. Fiat-Chrysler wouldn't comment on the report, but the theory is that the combination of cost, capability, and ease of modification were deciding factors. We're sure the multibillion dollar aftermarket industry is also pleased. Remember, Jeep showed off the lifted Cherokee Dakar Concept at the Easter Jeep Safari last year, but the first ingredient in the recipe for jacking up its independent suspension was, "a whole new suspension." Above that there will be an aluminum body that's smaller than the current one, which Allpar says could be done with a narrower track and tighter gaps. It will sport a fixed windshield with increased rake to improve aero efficiency, and while there are rumors of a diesel-engined version that we'll finally get in the US, there's been no reliable info as of yet to back that up. Related Video: News Source: Automotive News - sub. req. Jeep Truck Off-Road Vehicles