By on July 10, 2018

VW logo, Image: Volkswagen

Even though the United States has already penalized and fined the crap out of Volkswagen for selling vehicles equipped with emissions-cheating defeat devices, the company remains in hot water. Earlier this month, Germany imposed a fine of $1.2 billion over the “dieselgate” scandal.

“Volkswagen accepted the fine and it will not lodge an appeal against it,” the company said. “Volkswagen, by doing so, admits its responsibility for the diesel crisis and considers this as a further major step towards the latter being overcome.”

On Monday, the U.S. Ninth Circuit Court of Appeals also upheld a $10 billion settlement between Volkswagen and the owners of 2.0-liter TDI vehicles that came equipped with the illegal software. The ruling pertains to roughly 475,000 customers. VW agreed to offer owners of the 2.0-liter diesels between $5,100 and $10,000 in compensation, in addition to the value of the vehicle.

Thus far, VW has agreed to pay at least $25 billion in the United States over claims from environmental regulators, states, dealerships, and affected customers. It’s also in the midst of buying back or repairing vehicles, a process that should continue continue through the end of 2019.

According to Reuters, the three-judge panel said that, in dismissing a number of objections to the original settlement, it “delivered tangible, substantial benefits to class members, seemingly the equivalent of — or superior to —those obtainable after successful litigation, and was arrived at after a momentous effort.”

Despite its best efforts, Volkswagen is still having trouble getting past the scandal. While the federal government would like to get its hands on former VW chief executive Martin Winterkorn, it seems satisfied for the moment. But problems have persisted in Germany. Audi CEO Rupert Stadler was arrested last month and suspended from his position following a string of raids at Volkswagen Group’s various facilities.

The company also continues spending billions on reclaiming the affected 2.0-liter vehicles, as well as a smaller number of 3.0-liter diesels. Meanwhile, some states have enacted consumer fraud suits of their own. While these claims are peanuts in comparison to the fines imposed by the federal government, they’ve still added millions to the company’s already colossal tab.

[Image: Volkswagen Group]

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10 Comments on “Volkswagen Will Continue Shelling Out Dieselgate Dough...”

  • avatar
    R Henry

    What has happened to all the US TDI’s VW bought back?

    • 0 avatar

      Some have been given the approved fix and resold (you’ll find quite a few in your area), and others have been junked.

    • 0 avatar

      A lot of them, at least the urea equipped ones are back on dealer lots. Some charge a very good price for them, some are nuts. I’ve been tempted a few times to get a manual Passat but after the fix, I’ve heard the performance and fuel consumption has been affected.

      • 0 avatar

        “I’ve heard the performance and fuel consumption has been affected.”

        Which is why VW cheated in the first place, no?

        • 0 avatar

          Well James, the fuel performance is affected by the fix for sure…more regenerations require more fuel. I am not sure if that was WAG main intent when they decided to cheat..the fuel consumption. “Passing” our draconian diesel rules was probably what they were looking after. The other stuff was unintended consequences. Anyway, what they did was wrong and now they, and diesel industry is paying the price. What I don’t like is that now WAG has become a knight in shining armour and fighting the diesel industry and lobbying for its demise. Kind of like, “if I can’t make it, I am taking you all down with me”

    • 0 avatar

      A lot of them went straight to the crusher. There is a Pick and Pull in my area that has been processing them for months. They literally have dozens of pallets of tires and wheels filling up a large section of their processing area. I was there one day last winter on a nice rainy day and there was a line of them in the processing area getting the refrigerant recovered. All windows were down and the hoods pushed back to the windshield. The fact that all of the windows were rolled down before the batteries were removed means they were going straight to the crusher missing only the fluids, batteries, tires and wheels.

      In the tire and wheel area they have stacks of 4 wheels for $84.95 with “free” tires.

  • avatar

    No sympathy from this former TDI owner.

  • avatar

    Meanwhile, purchased loopholes by truck refurbishers allow a new body and frame, plus a rebuilt diesel which does not meet current standards, to hit the roads. Big Rigs are rolling coal legally. While I have zero sympathy for VW, having read all about the exact, designed in cheat software, and having had a TDi which blew the DPF at 82k miles, I’d think I was being picked on. If VW knew a few political contributions would be all that was needed, they could have saved millions. Meanwhile, “Gliders” sail through a loophole the size of an 18 wheeler.

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