Among the changes, the practice of 10-day intimation before ARAI officials come for a check at the carmaker's plants may be done away with. “We have to make sure that it is not easy for any company to do something like this in the future and get away with it,” said another official who attended the meeting.
Additionally, the ministry of heavy industries and the ministry of road transport have also set up a joint committee to monitor the recall exercise by GM so that consumers are not harassed, the official said. GM's Tavera recall is among the largest in the domestic industry till date.
For GM India, a company that is currently incurring losses, the penalty for the emissions fraud under the Central Motor Vehicle Rules is just about Rs 11 crore. However, the total cost of the fraud including lost sales for a month and the cost of fixing the recalled Taveras is expected to add up to Rs 500 crore.