VW to Pay $1.22B on Cheating Diesel Models

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May 15, 2017―Volkswagen and a federal judge have agreed on a $1.22 billion fine for the automaker’s 3.0-liter TDI engines fitted with a cheating device, according to Motor 1. The German manufacturer will have to fix or buy back 80,000 vehicles in the United States equipped with the motor.

Volkswagen will have to pay between $7,000 and $16,000 to each owner of a 3.0-liter TDI car who decides to keep it and get it fixed by the company. The company could also be forced to pay up to $4.04 billion if regulators don’t approve fixes for all 3.0 TDIs.

A spokeswoman for the company, Jeannie Ginivan, is quoted by Reuters as saying the settlement "marks an important milestone for Volkswagen and means that a resolution is available to all of our customers."

U.S. District Judge Charles Breyer approved the penalty less than a year after he approved another settlement for Volkswagen linked with the smaller 2.0 TDI engines. Last fall, VW agreed to pay $14.7 billion and to fix or buy back 475,000 cars fitted with that motor―and more than half of the affected vehicles have already been repurchased or repaired.


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