General Motors on Wednesday
sued Fiat Chrysler Automobiles alleging corruption with the
United Auto Workers trade union, according to Bloomberg.
FCA has always denied knowledge of a plot between former
mangers and UAW officials to weaken labour norms.
GM says late FCA chief Sergio Marchionne resorted to bribes
to corrupt labour contract talks between the UAW and Detroit's
Big Three automakers (including Ford) between 2009 and 2015.
FCA fell 2.5% on Wall Street on the report.
Bloomberg said General Motors Co. hit Fiat Chrysler
Automobiles NV with a blockbuster racketeering lawsuit, alleging
that a bribery scheme that has sent United Auto Workers and Fiat
Chrysler officials to jail ultimately cost GM billions of
dollars by tainting union contracts as far back as 2009.
It said GM filed the suit in federal court Wednesday seeking
to recoup unspecified damages from its rival, known as FCA,
which has in the past denied being aware three former executives
conspired with United Auto Workers officials to undermine labor
law.
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