GM sues to recoup $450K in employee discounts

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By Beth Boehne

Story Created: Aug 30, 2008 at 1:04 PM EDT

Story Updated: Aug 31, 2008 at 1:30 AM EDT

DETROIT (AP) — General Motors Corp. is cracking down on workers and retirees that it says have improperly extended employee discounts to nonrelatives, costing the automaker more than $450,000.

The Detroit News on Saturday reported details of lawsuits by GM seeking repayment.

Some were filed after this month's announcement by GM to temporarily extend such discounts to everyone on almost all of its 2008 and some of its 2009 models. That promotion is set to expire Tuesday.

In the lawsuits filed by GM, the discounts found by company audits saved buyers $1,000 to almost $9,000.

GM spokesman Tom Wilkinson said the lawsuits' timing was coincidental. He said in the past such uses of employee discounts might have been overlooked, but the company is closely watching its costs.

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Information from: The Detroit News, http://www.detnews.com

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