Cleaning up the mess: GM reaches $51 million to resolve environmental accord with U.S.

GM Renaissance Center
GM Renaissance Center

Old GM has reached a settlement with the government to the tune of $51 million to resolve environmental liabilities at 34 locations. The settlement represents number 8 for Motors Liquidation Co., of which more than $800 million has been recovered for cleanup.

As part of the latest settlement, the US EPA will receive stock and warrants in the new GM to cover about $36 million worth of claims. Another $15 million will go to clean up the 34 sites in 11 states.

On Thursday, a US Bankruptcy judge approved Old GMs bankruptcy plan, which included a $536 million trust for environmental clean-up at former company sites. This latest settlement resolves claims under the Clean Air Act; the Comprehensive Environmental Response, Compensation and Liability Act; and the Resource Conservation and Recovery Act.

– By: Stephen Calogera

Source: Automotive News