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FCA, Justice Dept. Near Settlement on Diesel Emissions?

Fiat Chrysler Automobiles NV and the U.S. Dept. of Justice reportedly are near agreement on a settlement of claims that the carmaker’s diesels evade emission standards.
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Fiat Chrysler Automobiles NV and the U.S. Dept. of Justice reportedly are near agreement on a settlement of claims that the carmaker’s diesels evade emission standards.

A letter from the Justice Dept. to FCA says terms would include a civil fine, recall covering about 104,000 diesel SUV and pickup trucks, and some form of environmental compensation, according to Bloomberg News. The news service says the would-be settlement would not end the Justice Dept.’s criminal investigation in possible emissions cheating.

The case began last May with a complaint by the U.S. Environmental Protection Agency and California Air Resources Board. The agencies claim that diesels in FCA’s 2014-2016 model Jeep Grand Cherokee SUVs and Ram 1500 pickup trucks use undeclared software that allows the engines to emit several times the allowable limit of nitrogen oxide in real-world driving conditions.

FCA has repeatedly denied any intentional wrongdoing. But the settlement letter refers to “compelling evidence” that the company knew or had reason to know the engines did not conform to emission laws, Bloomberg says.

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