General Motors is suing Fiat Chrysler Automobiles and several former FCA executives for the ongoing corruption scandal that has led to 13 federal lawsuits and has affected the current and immediate past UAW presidents.
The Confederation In a lawsuit against GM filed Wednesday at the Detroit US District Court, the FCA and former FCA executives Al Iacobelli, Jerome Durden and Michael Brown were named as defendants. The complaint also mentions former FCA CEO Sergio Marchionne. He died last year.
"We have stated in the complaint that Mr. Marchionne is responsible for conceiving, executing, and promoting the alleged misconduct," said Craig Glidden, GM's GM and General Counsel. We believe the responsibility lies with the Orchestrator's Misconduct and we plan to hold the FCA accountable.
Iacobelli was vice president of employee relations at the FCA and responsible for negotiations Durden was a financial analyst at the FCA and Brown was director of employee relations at the FCA and also involved in UAW negotiations. All three plead guilty to the charge.
Al Iacobelli, former Fiat Chrysler chief of staff, leaves the federal court at Detroit Roit on Tuesday, August 1, 2017. [Photo: Romain Blanquart, Detroit Free Press]
The lawsuit alleges that the FCA was engaged in contract negotiations in 2011 and 2015 against GM in a multi-year corruption pattern undermining the integrity of collective bargaining with the UAW. It is alleged that the FCA already in 2009 disrupted the performance of the contract.
GM said corruption has caused "significant" damage. Specifically, the FCA had managed to achieve cheap labor costs and "act differently than its competitors," which contributed to a reduction in FCA costs, Glidden said wages, as GM did and "did so with the knowledge that policies that we believed there were none existing. "
Joseph Ashton, who faces two conspiracy charges in connection with wire fraud and money laundering, is scheduled to be heard by US District Judge Bernard Friedman on December 4.
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Events involving Mr Ashton surrounded, have nothing to do with what is claimed in this complaint, "Glidden said. As for Mr. Ashton's behavior, GM was unaware of his behavior and GM will deal with the charges in a timely manner. "
GM Wants Corruption-Free Negotiations in Future," Glidden added The lawsuit has nothing to do with the UAW's entry into the final phase of its contract negotiations with the FCA, which began this week FC failed with the French Groupe PSA GM relied on the federal government's investigation into the RICO lawsuit, Glidden said he had not discussed the matter with Ford Motor Co. "We followed that up and got ours own due diligence carried out. We believe that now is the time to bring them forward and claim damages. " Follow her on Twitter @ jlareauan . Read more about General Motors and sign up for our Cars Newsletter .
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