Current:Home > FinanceGM's driverless car company Cruise is under investigation by several agencies -EliteFunds
GM's driverless car company Cruise is under investigation by several agencies
View
Date:2025-04-14 09:39:40
The GM-owned driverless car company Cruise is under investigation by several federal agencies for an October crash that seriously injured a pedestrian.
The company on Thursday said it is being investigated by the National Highway Traffic Safety Administration, the U.S. Department of Justice, and the U.S. Securities and Exchange Commission, in addition to California agencies. Cruise said it is "fully cooperating" with the regulatory and enforcement agencies that have opened the investigations.
In the Oct. 2 crash, a vehicle struck a pedestrian and sent her flying into the path of the self-driving Cruise car. The Cruise vehicle then dragged the pedestrian for another 20 feet, causing serious injuries.
Cruise, which owns a fleet of robotaxis in San Francisco, then failed to adequately inform regulators of the self-driving vehicle's full role in the incident. Since then, Cruise's driverless ride-hailing services have been paused in all markets. The CEO resigned, along with other senior executives.
Cruise also hired outside law firm Quinn Emanuel Urquhart & Sullivan to investigate the incident.
In a scathing report, released Thursday, the law firm said Cruise's interactions with regulators revealed "a fundamental misapprehension" of the company's obligations to the public.
The company says it accepts the law firm's conclusions and is focused on "earning back public trust."
"Poor leadership" cited as one reason for the Cruise's failing
In its initial explanations of the crash to the public and to regulators, Cruise did not acknowledge that the robotaxi dragged the pedestrian. Instead, it focused on the fact that the collision was originally caused by another vehicle.
The law firm did not conclude that Cruise intentionally misled regulators. The report states that Cruise did attempt to play a full video for regulators that showed the pedestrian being dragged, but "internet connectivity issues" repeatedly caused the video to freeze. And instead of pointing out the video's significance, "Cruise employees remained silent, failing to ensure that the regulators understood what they likely could not see."
Letting a video "speak for itself" when the video couldn't even play didn't quite rise to the level of concealing the truth, the law firm concluded. But the report said it revealed a lot about Cruise's corporate culture.
"The reasons for Cruise's failings in this instance are numerous: poor leadership, mistakes in judgment, lack of coordination, an 'us versus them' mentality with regulators, and a fundamental misapprehension of Cruise's obligations of accountability and transparency to the government and the public," the law firm wrote.
veryGood! (84851)
Related
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Hi Hi!
- Amy Schumer Is Kinda Pregnant While Filming New Movie With Fake Baby Bump
- What lawmakers wore to the State of the Union spoke volumes
- 'Queer Eye' star Tan France says he didn't get Bobby Berk 'fired' amid alleged show drama
- The Daily Money: Spending more on holiday travel?
- Media mogul Rupert Murdoch is planning a fifth walk down the aisle this June
- Alaska whaling village teen pleads not guilty to 16 felony counts in shooting that left 2 dead
- Duchess Meghan talks inaccurate portrayals of women on screen, praises 'incredible' Harry
- Will the 'Yellowstone' finale be the last episode? What we know about Season 6, spinoffs
- Millie Bobby Brown Claps Back on Strange Commentary About Her Accent
Ranking
- Grammy nominee Teddy Swims on love, growth and embracing change
- Who is Katie Britt, the senator who delivered the Republican State of the Union response?
- Hissing alligator that charged Georgia deputy spotted on drone video
- Homeowners in these 10 states are seeing the biggest gains in home equity
- Highlights from Trump’s interview with Time magazine
- Microsoft says it hasn’t been able to shake Russian state hackers
- Apple reverses course and clears way for Epic Games to set up rival iPhone app store in Europe
- Spring Ahead with Kate Spade Outlet’s Weekend Deals – $59 Crossbodies, $29 Wristlets & More
Recommendation
$73.5M beach replenishment project starts in January at Jersey Shore
Ulta Beauty’s Semi-Annual Beauty Event Kicks Off with 1-Day Deals – 50% off Estee Lauder, Fenty & More
Montana Rep. Rosendale drops US House reelection bid, citing rumors and death threat
Female representation remains low in US statehouses, particularly Democrats in the South
Spooky or not? Some Choa Chu Kang residents say community garden resembles cemetery
Angela Bassett Shares Her Supreme Disappointment Over Oscars Loss One Year Later
Lawsuit accuses Portland police officer of fatally shooting unarmed Black man in the back
Doritos cuts ties with Samantha Hudson, a trans Spanish influencer, after disturbing posts surface