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Feds accuse Fiat Chrysler, UAW of conspiring to break labor laws

DETROIT — Top officials of Fiat Chrysler Automobiles and the United Auto Workers union conspired to violate U.S. labor laws, federal prosecutors alleged in a court document, saying a former executive at the automaker knew bribes paid to union leaders were designed to "grease the skids" in labor negotiations. U.S. Justice Department officials for the first time called the company and the union "co-conspirators" in a document related to a guilty plea agreed by former Fiat Chrysler director of employee relations Michael Brown. The document was filed with the U.S. District Court in Detroit on May 25. Its contents were reported by the Detroit News on Wednesday. Brown pleaded guilty to one count of concealing a felony. The plea agreement stated that he knew Fiat Chrysler executives authorized $1.5 million in improper payments and travel, liquor, cigars and other goods for UAW officials who served on the union's negotiating committee. Prosecutors say FCA executives paid UAW representatives to influence union business. including collective bargaining on contracts ratified in 2011 and 2015. The government contends money was run through the UAW-Chrysler National Training Center, via false charitable donations and training center credit cards. Fiat Chrysler Chief Executive Officer Sergio Marchionne has said in the past that the misconduct "had nothing whatsoever to do with the collective bargaining process" and the "egregious acts were neither known to nor sanctioned" by the company. Fiat Chrysler had no further comment Monday. Outgoing UAW President Dennis Williams told union leaders at a conference in Detroit on Monday "our leadership team had no knowledge of the misconduct — which involved former union members and former auto executives — until it was brought to our attention by the government." Brown pleaded guilty on May 25, according to court documents, and will be sentenced on Sept. 20. Five other people have pleaded guilty in the government's ongoing investigation into the UAW and Fiat Chrysler, including the wife of a late UAW official, two other former UAW employees, former Fiat Chrysler vice president Alphons Iacobelli and another former Fiat Chrysler employee. Reporting By David Shepardson and Nick CareyRelated Video: Government/Legal UAW/Unions Chrysler Dodge Fiat Jeep RAM FCA

Junkyard Gem: 2004 Chrysler PT Cruiser GT

Many claim to hate the Chrysler PT Cruiser now, though better than a million were sold in the United States during the retro-styled little truck's production run (the NHTSA classified the PT Cruiser as a truck, so that's what we'll call it). I didn't start finding many PT Cruisers in junkyards until about 10 years ago, at which point the Chrysler section in just about every big self-service yard became choked with row upon row of them. While most of these cars trucks were ordinary— if cute-looking— transportation appliances, Chrysler built some with turbocharged 2.4-liter engines and five-speed manual transmissions. Here is one of those rare machines, found in a Northern California self-service yard last month. The PT Cruiser was based on the Neon, meaning that it was no sweat to take any high-performance Neon bits and swap them onto its sibling. The PT Cruiser GT didn't quite get the same running gear as the SRT-4 Neon, but it was a genuine factory hot rod. The heart of the PT Cruiser GT was this turbocharged 2.4-liter engine, rated at 215 horsepower in the 2003-2005 version. The naturally-aspirated 2.4 that went into ordinary PT Cruisers made 150 horses in 2004. While a Getrag five-speed manual transmission was standard equipment (at least at the lower-end trim levels) for all but the final year of the Cruiser's 2001–2010 American sales run, nearly every buyer paid what it took to get the optional four-speed automatic. That didn't happen with this car truck, which has the five-speed. The GT also got better brakes, bigger wheels, a stiffer suspension, a lower ride height, and a louder exhaust. What's not to like? Will we miss the special-edition PT Cruisers when they're all gone? This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Referred to as a "small-car alternative" in this TV commercial.

If Tesla Model 3 is successful, Sergio Marchionne will copy it

Fiat Chrysler CEO Sergio Marchionne hasn't hidden his disdain for electric vehicles, but he would copy the Tesla Model 3 if it is successful, according to Automotive News Europe. If Elon Musk "can show me that the car will be profitable at that price, I will copy the formula, add the Italian design flair and get it to the market within 12 months," Marchionne told Automotive News Europe during FCA's annual meeting in Amsterdam. In terms of pre-orders, the Model 3 is a success. Musk tweeted on April 7 that the company had over 325,000 reservations for the sedan, which he estimated were worth around $14 billion. The car will start at $35,000 before incentives. Marchionne, however, isn't optimistic Tesla can actually make the electric sedan work financially. "I'm am not surprised by the high number of reservations but you have then to build and deliver them and also be profitable," he told ANE. The FCA boss is a noted skeptic of EVs. In 2012, he said that the company only built the 500e because of California's zero-emissions vehicle mandate and to give engineers experience with the technology. He doubled-down in 2014 when he claimed FCA lost $14,000 on each 500e and said he would rather people didn't buy them. More recently, he infamously said "you'd have to shoot me first," before he'd allow a fully electric Ferrari. Related Video: