Fiat Chrysler settled the diesel fraud case for 800 million

Fiat Chrysler has reached a settlement with the US Department of Justice and the State of California. The group will buy more diesel fraud charges for 800 million dollars (over 690 million euros). Fiat Chrysler, however, maintains its innocence.

We tend to say: to settle is to admit guilt. But hey, maybe Fiat Chrysler is just trying to buy bad publicity from a short-term lawsuit. The automaker will pay at least $311 million in civil penalties, $280 million in owner compensation and $100 million in extended warranties. In addition, California will pay $72.5 million in civil fines and $20 million to compensate the state for higher emissions.

Tamper software

Fiat Chrysler was sued by the US Department of Justice in May 2017. The manufacturer is said to have installed illegal cheating software in 104,000 diesel models. This mainly concerns Jeeps sold between 2014 and 2016. According to the Ministry of Justice, the settlement does not mean that the investigation into the alleged diesel fraud by Fiat Chrysler has been stopped. The US Securities and Exchange Commission has now also highlighted the issue.

The Trump administration

“Fiat Chrysler misled consumers and the government by putting hidden software in these vehicles,” said EPA Director Andrew Wheeler. “The program undermines the protection of our clean air. The settlement sends a clear message to producers and consumers: The Trump administration will do everything we can to protect the environment and public health. Which is a very ironic (and hypocritical) statement, given that Trump and the EPA they are rolling back all of the tough environmental regulations of the Obama administration.

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