Hardest-hit victims of the auto bankruptcies

Herb Weisbaum • Profile • E-mail

We’ve all heard about the financial hardships caused by the bankruptcies of Chrysler and General Motors. Employees, dealers and stockholders have all been hurt. But there are other victims who are not as visible: the customers who were injured in defective vehicles made by these companies. This is their story.

Life for Jeanne and Joseph Polio of East Haven, Conn., changed forever on July 1, 2005. They were driving their 2000 Jeep Cherokee when it was T-boned by another vehicle. The Jeep rolled over and its roof collapsed, leaving Jeanne a quadriplegic with medical bills that have already exceeded a million dollars.

The Polios sued Chrysler, claiming the Jeep’s roof was defective. Chrysler says its vehicle was not defective and met all government safety standards at the time.

“All they are looking for is their day in court,” says the couple’s attorney, Timothy Pothin. “Chrysler’s action and the outcome of the bankruptcy proceeding may deprive them of that.”

Mrs. Polio says, “It’s not honorable for Chrysler to be able to just walk away from this responsibility.”

Last week, the Polios joined Conn. Attorney General Richard Blumenthal as he announced he’s fighting new Chrysler’s efforts to escape product liability for old Chrysler’s vehicles.

“New Chrysler is trying to take all Chrysler assets but leave injured consumers with fumes,” Blumenthal said. “Abandoning countless Chrysler consumers like the Polios compounds their tragedies and condemns their legitimate claims for justice.”

Lorraine Pullano of Niagara Falls, N.Y., describes herself as “a 24-hour caregiver.” Her husband Nicholas became a paraplegic when he was run over by his 1992 Jeep Cherokee.

In September of 2003, Mr. Pullano was leaving for work, when his Jeep wouldn’t start. He was run over by the vehicle while he was under it trying to jump-start it.

Nicholas Pullano, 54, will spend the rest of his life in bed or a wheel chair. “He cries a lot,” his wife says. She blames stress for her heart attack.

“It turned from a very loving happy home to a very loving sad home,” Mrs. Pullano says.

The Pullanos sued Chrysler, claiming the vehicle’s design and a lack of safety devices allowed the Jeep to roll over Mr. Pullano. Chrysler says it is not to blame for this accident. Because of the bankruptcy filing, the lawsuit is on hold and a jury may never get to decide.

“This is a company being bailed out by taxpayers for a second time,” says the Pullano’s attorney, Eric Dranoff. “To leave its customers high and dry when it's consumers who feed the machine is difficult to live with.”

Consumer groups outraged
When a company reorganizes under Chapter 11 protection, it can shed negative assets and break free of past obligations, such as lawsuits.

Some Chrysler and GM customers find themselves facing a harsh reality – they may be left behind in the rush to protect the two automakers.

MORE FROM CONSUMERMAN

ConsumerMan Section Front

ConsumerMan: Clean clothes, stinky problem ConsumerMan: Fed overdraft rule not enough Chinese drywall a big threat FTC nabs Moneygram Death in the digital age Free samples? Just say no ConsumerMan mailbag: Car rip-offs and more ConsumerMan Section Front   Add ConsumerMan headlines to your news reader: