GM-owned company Cruise must pay maximum fine for late accident reporting

Cruise, the autonomous driving subsidiary of General Motors (GM), has been ordered to pay the maximum fine by a California regulator because the company waited too long to report certain details of an accident involving one of its robotaxis.

After a Cruise robotaxi struck, dragged and trapped a pedestrian in October, California regulators revoked the GM-owned company’s license to operate self-driving vehicles. In the weeks following the accident, the California Department of Transportation reported that Cruise “misrepresented” and “omitted” certain key details of the accident in its reports to regulators.

Cruise was officially ordered by the California Public Utilities Commission (CPUC) to pay the maximum fine of $112,500 this month, according to a report by Automotive NewsThe official decision came after a consultation period following a hearing in which the regulator forced the company to increase its settlement demand from just $75,000 to the maximum penalty of $112,500 in February.

“We are pleased to have reached an agreement with the CPUC. Over the past few months, we have taken important steps to improve our leadership, processes and culture,” Cruise said in a statement.

The amount is $7,500 for each of the 15 days that Cruise was late in reporting critical details to regulators. The company must now also submit regular “collision reports” to the CPUC and the National Highway Traffic Safety Administration (NHTSA).

Last month, Cruise also resumed supervised testing of its robotaxis in Phoenix, Arizona, the first tests ever for the company since the October accident.

GM has cut spending on Cruise in half this year, even as the company has focused on reviving its autonomous driving efforts.

“We at Cruise are committed to regaining the trust of regulators and the public through our commitments and actions,” GM CEO Mary Barra wrote in a letter to investors earlier this year.

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