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Report: FCA Near Deal to Settle Diesel Pollution Probe
Fiat Chrysler Automobiles NV is close to an agreement to end a federal investigation into whether the carmaker deliberately evaded U.S. diesel emission laws.
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Fiat Chrysler Automobiles NV is close to an agreement to end a federal investigation into whether the carmaker deliberately evaded U.S. diesel emission laws, sources tell Bloomberg News.
A deal may be finalized this month, according to the sources. They add that FCA also is close to announcing a settlement of civil charges related to the same issue. FCA said in October it has set aside $810 million to cover the costs of both settlements.
The U.S. Dept. of Justice has spent two years looking into claims by the Environmental Protection Agency and California Air Resources Board that FCA used illegal emission control software in 104,000 diesel-powered Jeep SUVs and Ram pickup trucks.
Bloomberg’s sources say FCA will likely be required to admit wrongdoing, pay a fine, repair the affected engines and perhaps fund an environmental remediation program.
The FCA settlement is similar in structure to the $4.3 billion deal made two years ago between the U.S. and Volkswagen AG to settle civil and criminal charges regarding that company’s diesel emission cheating.
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