Current:Home > MarketsGM's driverless car company Cruise is under investigation by several agencies -WealthSync Hub
GM's driverless car company Cruise is under investigation by several agencies
View
Date:2025-04-27 22:16:46
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! (347)
Related
- Megan Fox's ex Brian Austin Green tells Machine Gun Kelly to 'grow up'
- 16-year-old Quincy Wilson to make Paris Olympics debut on US 4x400 relay
- Tropical Storm Debby pounding North Carolina; death toll rises to 7: Live updates
- Alabama man faces a third murder charge in Oklahoma
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Hi Hi!
- Alabama man faces a third murder charge in Oklahoma
- University of Georgia panel upholds sanctions for 6 students over Israel-Hamas war protest
- Inside an 'ambush': Standoff with conspiracy theorists left 1 Florida deputy killed, 2 injured
- Sam Taylor
- Who is Nick Mead? Rower makes history as Team USA flag bearer at closing ceremony with Katie Ledecky
Ranking
- 'We're reborn!' Gazans express joy at returning home to north
- Ferguson marks 10 years since Michael Brown’s death. While there’s some progress, challenges persist
- Eurasian eagle-owl eaten by tiger at Minnesota Zoo after escaping handler: Reports
- 'Euphoria' star Hunter Schafer says co-star Dominic Fike cheated on her
- Scoot flight from Singapore to Wuhan turns back after 'technical issue' detected
- Ohio woman claims she saw a Virgin Mary statue miracle, local reverend skeptical
- FACT FOCUS: A look at claims made by Trump at news conference
- Elle King opens up about Dolly Parton, drunken Opry performance: 'I'm still not OK'
Recommendation
Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Hi Hi!
Fighting Father Time: LeBron James, Diana Taurasi still chasing Olympic gold
'Euphoria' star Hunter Schafer says co-star Dominic Fike cheated on her
Teen Mom Stars Amber Portwood and Gary Shirley’s Daughter Leah Looks All Grown Up in Rare Photo
McConnell absent from Senate on Thursday as he recovers from fall in Capitol
Katie Ledecky, Nick Mead to lead US team at closing ceremony in Paris
Capitol riot defendant jailed over alleged threats against Supreme Court justice and other officials
'Take care': Utah executes Taberon Dave Honie in murder of then-girlfriend's mother