General Motors Co (GM) wants to bring back its lawsuit against Fiat Chrysler Automobiles (FCA), saying that it has obtained new evidence of bribery involving Chrysler and union leaders in order to harm GM, a filing to US District Judge Paul Borman said on Monday.
According to GM, FCA allegedly used offshore bank accounts to pay off the United Auto Workers (UAW) for better labour contracts, and the former head of union relations at FCA, Al Iacobelli, was bribed to spy on GM when he worked there.
The alleged bribery scheme, "is much broader and deeper than previously suspected or revealed as it involved FCA Group apparently using various accounts in foreign countries ... to control corrupt individuals by compensating and corrupting those centrally involved in the scheme to harm GM", the company said.
GM says it has uncovered million-dollar secret bank accounts in Switzerland, Luxembourg, the Cayman Islands, and some other states linked to the UAW and FCA officials, which were specifically designed to "remain secretive from criminal investigation".
GM also claims a top UAW official was paid off by FCA to inform them on GM's business strategy.
FCA officials reportedly consider that GM's allegations are intended to ruin its possible merger with France's PSA Groupe.
"As we have said from the date the original lawsuit was filed, it is meritless. ... FCA will continue to defend itself vigorously and pursue all available remedies in response to GM’s attempts to resurrect this groundless lawsuit", FCA said in a statement.
Meanwhile, the US Justice Department has launched a corruption probe, still ongoing, which has already set jail terms for at least 10 former UAW and FCA officials.
The GM's lawsuit was previously rejected by Judge Borman, saying that the alleged damage to GM was not caused by FCA.
