Ex-GM, VW Exec Indicted in Spying Case

A federal grand jury has indicted Jose Ignacio Lopez, a former General Motors Corp. and Volkswagen executive, on charges the controversial purchasing boss stole secret GM documents and turned them over to rival VW seven years ago, the Justice Department said Monday.

The six-count indictment alleges that Lopez gathered sensitive documents describing new car models, a proposed new assembly operation and supplier prices while working for the world’s No. 1 auto maker, and sent them to VW before joining the German firm in 1993.

The Justice Department said it will make a formal request to Spain to extradite Lopez to the U.S.

GM filed a civil lawsuit against VW, Lopez and others in U.S. District Court, alleging Lopez took confidential documents to VW. The lawsuit was settled in early 1997, when VW agreed to pay GM $100 million as well as purchase $1 billion worth of GM parts.

A lawyer for Lopez said the former executive won’t be extradited because of head injuries suffered in a 1988 auto accident that left him with memory loss and brain damage.