Cruise LLC, a San Francisco-based autonomous vehicle company, has agreed to resolve a criminal charge in federal court for submitting a false report to the National Highway Traffic Safety Administration (NHTSA). The report was intended to influence an investigation into a crash involving one of Cruise's autonomous vehicles. The company will address the charge through a deferred prosecution agreement and pay a $500,000 fine.
Martha Boersch, Chief of the Office of the U.S. Attorney’s Criminal Division, emphasized the importance of honesty in regulatory compliance: “Federal laws and regulations are in place to protect public safety on our roads. Companies with self-driving cars that seek to share our roads and crosswalks must be fully truthful in their reports to their regulators.”
Cory LeGars, Special Agent-in-Charge at the U.S. Department of Transportation Office of Inspector General (DOT-OIG), Western Region, commented on holding Cruise accountable: “Today’s deferred prosecution agreement holds Cruise, LLC and its employees accountable for their lack of candor in a federal regulatory compliance action.”
The case stems from an incident on October 2, 2023, when a driverless Cruise vehicle ran over a pedestrian who had been thrown into its path by another car. Although the vehicle stopped after hitting the pedestrian, it did not detect her presence underneath and attempted to pull over with her still beneath it. This resulted in dragging her over 20 feet.
Cruise is required by federal regulations to report such incidents accurately to NHTSA. However, they submitted an incomplete report that omitted details about the dragging incident. A subsequent video presentation also failed due to technical difficulties but later showed footage depicting what happened.
Under the terms of the deferred prosecution agreement, Cruise must pay a $500,000 fine and cooperate with government investigations while implementing a Safety Compliance Program. They are also obligated to provide annual updates on these measures.
If Cruise does not meet its obligations within three years under this agreement, further prosecution may occur.
The resolution was influenced by several factors including Cruise's cooperation with government inquiries following notification of an investigation against them; conducting internal investigations; sharing findings publicly; providing access for interviews; taking remedial actions like dismissing responsible employees; and making operational improvements outlined within their agreement.
This announcement came from Martha Boersch alongside Cory LeGars and FBI Special Agent Robert K. Tripp. Assistant U.S Attorneys Noah Stern along with Lloyd Farnham lead prosecutions aided by Maryam Beros as part result stemming from investigations conducted jointly between DOT-OIG & FBI agencies.