General Motors Company (NYSE:GM) has revealed that deaths that have been claimed to be linked to faulty ignition switches in their vehicles have risen to 107, Liz MacDonald said in a report on Fox Business Network.
MacDonald was referring to revelations made by Amy Weiss, a spokeswoman for Kenneth Feinberg who is General Motors Company (NYSE:GM)’s administrator for the fund for victims of the glitch, in a report by Reuters.
According to Reuters, Weiss revealed that General Motors Company (NYSE:GM) has now received a total of 107 claims of deaths resulting from the faulty ignition switches linked to the company’s recent massive recall affecting 2.6 million vehicles.
“Ken Feinberg […] [is]telling Reuters that it’s actually eight times more deaths attributed to the ignition switch failure. We’re talking 107 deaths versus the 13 that we initially reported GM was saying,” MacDonald explained.
MacDonald also pointed out that General Motors Company (NYSE:GM) has initially set aside $400 million for the compensation of victims. This is against the initial $1.5 billion fund Fox Business Network reported, she said.
Furthermore, she noted that Feinberg has said that he “will be more generous with you GM victims versus having your day in court.” The plan is not to have any of the victims have their day in court, MacDonald said.
According to Reuters, Feinberg will be the arbiter of how much compensation families of victims get. However, the amount to be given to the kin of the victims will be at least $1 million. More may be given subject to reasons such as whether the deceased left children or other dependents, Reuters reported.
The company is still accepting claims for compensation linked to the fault and will do so until the last day of the year.
General Motors Company (NYSE:GM) shareholders includes Warren Buffett’s Berkshire Hathaway which reported about 32.96 million shares in the car manufacturer by the end of the second quarter of the year.