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Volkswagen Will Have To Pay $86 Million In Civil Penalties In California

2015 Volkswagen Golf TDI 1 photo
Photo: Volkswagen
Every once in a while, things do not happen as you planned, and Murphy’s law shows its power.
In the case of Volkswagen, after cheating in emission testing procedures, the automaker’s scheme was exposed. Its boss had to resign, it is being charged by local authorities, and everyone is pointing fingers at the German carmaker.

The worst part is that it is getting difficult to fix all of the affected vehicles, and the Volkswagen Group sold about 11 million “dirty diesels.” Eventually, the company managed to strike a settlement deal with American authorities, in which Volkswagen will have to pay approximately $15 billion.

At this point, you would think the 15 billion dollars would be enough of a penalty for the automaker, but not all 50 states agree. In the case of California, Volkswagen will have to pay an additional $86 million, on the count of violating diesel emission laws.

The news comes from California state Attorney General Kamala Harris, who explained how the state reached the sum. Volkswagen will have to pay the civil penalty after specific claims against VW were resolved by California officials, and the company has also been sanctioned under the state’s unfair competition law, on top of sanctions applied under the federal legislation.

As Automotive News reports, the largest part of the settlement will be paid to the office of the state Attorney General, in the form of $76 million, to cover the cost of the investigation and litigation.

The rest of the penalty that Volkswagen has to pay, $10 million, will go to universities and government agencies. The recipients will use it to develop technology to help detect “defeat devices” in the future, if anyone will be foolish enough to attempt a scheme like this after the Dieselgate affair.

Volkswagen still has to pay about $603 million to resolve litigation with “most US states,” along with the District of Columbia and Puerto Rico, on top of the settlement with federal authorities.
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About the author: Sebastian Toma
Sebastian Toma profile photo

Sebastian's love for cars began at a young age. Little did he know that a career would emerge from this passion (and that it would not, sadly, involve being a professional racecar driver). In over fourteen years, he got behind the wheel of several hundred vehicles and in the offices of the most important car publications in his homeland.
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