VW emission-cheating settlement affects nearly 29,000 vehicles in TN, GA

The emissions-cheating scandal engulfing VW should prompt local government officials from approving an amended tax break agreement with a key VW-Chattanooga supplier, according to a local good government watchdog.
The emissions-cheating scandal engulfing VW should prompt local government officials from approving an amended tax break agreement with a key VW-Chattanooga supplier, according to a local good government watchdog.
photo The emissions-cheating scandal engulfing VW should prompt local government officials from approving an amended tax break agreement with a key VW-Chattanooga supplier, according to a local good government watchdog.

NASHVILLE - As part of the $15 billion-plus national settlement over its auto emissions-cheating scandal, Volkswagen will implement a restititution program for Tennesseans who own or lease 11,448 affected VW and Audi models affected, state Attorney General Herbert Slatery said today.

Tennessee government, meanwhile, will receive $12.59 million as part of the $570 million going to states nationwide, according to Slatery and the state's Division of Consumer Affairs.

That's for repeated violations of state consumer laws sold or leased in Tennessee by VW, which produces the Passat at its Chattanooga plant.

Officials say the company ran afoul of state laws prohibiting unfair or deceptive trade practices by marketing, selling and leasing diesel vehicles equiped with illegal and undisclosed "defeat device" software.

"Our primary objective was to make sure consumers were compensated, as they should be," Slatery said in a news release. "When a company exploits its own customers and misleads regulators the way Volkswagen did, it should be penalized."

Slatery called the settlement a "stiff but reasonable penalty for Volkswagen's deception and most importantly, it is a fair result for consumers."

The agreement is part of a series of state and federal settlements that will provide cash payments to affected consumers and require Volkswagen to buy back or modify certain VW and Audi 2.0-liter diesel vehicles.

The settlement also bars Volkswagen from engaging in future unfair or deceptive acts and practices in connection with its dealings with consumers and regulators.

Jennifer Donnals, Tennessee Gov. Bill Haslam's press secretary, said the governor "believes today is a positive step for both consumers and Volkswagen toward returning the focus to Tennesseans making great cars."

Georgia Attorney General Sam Olens, meanwhile, says 17,157 VW and Audi models with the emissions-cheating device were sold in in his state from 2009 to 2015. Georgia government will see $18.87 million in the settlement.

"Volkswagen's deliberate circumvention of federal emission standards deceived consumers," Olens said. "This settlement brings justice to affected Georgia consumers."

Tennessee and Georgia consumers account for 28,605 of the questioned vehicles sold and the two states are collectively getting some $31.50 million in fines from the German auto manufacturer.

Today's coordinated settlements resolve consumer protection claims raised by a multistate coalition of State Attorneys General co-led by attorneys general in Connecticut, Massachusetts, New York, Oregon, Tennessee, and Washington.

Thirty-seven other states and jurisdictions joined the six leading states in the action against Volkswagen AG, Audi AG, and Volkswagen Group of America, Inc., Porsche AG and Porsche Cars, North America, Inc. All are collectively referred to as Volkswagen.

Settlements also resolve actions against Volkswagen brought by the United States Environmental Protection Agency, Department of Justice, the Federal Trade Commission, California and car owners in private class action suits.

According to the VW settlement website, the following 2.0-liter TDI vehicles are included and may be eligible:

* VW Beetle
2013 - 2015

* VW Golf
2010 - 2015

* VW Jetta
2009 - 2015

* VW Passat
2012 - 2015

* Audi A3
2010 - 2013; 2015

The website allows owners or leasees to enter their car's Vehicle Identification Number (VIN) to see if their vehicle is among those effected. Check out the website at: https://www.vwcourtsettlement.com/en/

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