Fiat Chrysler cheats in emissions tests, agrees to pay $650 mn over software misuse
NYT said the auto company used illegal engine-control software on diesel vehicles that produced false results.
- No favourites for Gautam Singhania when it comes to cars; still has a Fiat 1100 he got at 18
- Niranjan Hiranandani says successful people are like Ambassadors, Fiats from 90s Mumbai
- Fiat Chrysler recalls cars to fix a problem with the headrest
- Gourmet tales: Kevin Flynn, Fiat Chrysler India MD, is hooked to 'ruby' curry on Fridays
The automaker will pay USD 305 million in penalties to the federal government and California, which also brought suit, the NYT said, citing two unidentified sources who were briefed on the issue.
It said the agreement is expected to be announced on Thursday.
Fiat Chrysler will also pay an average of USD 2,500 to owners of 104,000 diesel-powered Ram 1500 trucks and Jeep Grand Cherokee sport utility vehicles from the 2014, 2015 and 2016 model years. The NYT said these payments could total more than USD 260 million.
Fiat Chrysler will also pay about USD 72 million in civil penalties to settle litigation brought by various states, and USD 6 million to settle other claims, the newspaper said.
US authorities including the Environmental Protection Agency sued the Italian-US automaker in 2017 alleging it had used illegal software that turned off pollution controls under certain driving conditions.
Genesis Essentia, Volvo 360c: 5 Concept Cars That May Drive The Future Of Mobility
Concept Drives Coming Up
The EPA said the software enabled the vehicles to pass emissions tests while allowing them to release higher levels of pollutants in normal driving.
The accord does not call for Fiat Chrysler to admit any wrongdoing, the newspaper said.
The Fiat Chrysler probe comes in the wake of the diesel emissions-cheating scandal that rocked Volkswagen and then spread to nearly all the major auto companies.