Volkswagen's diesel emission scandal continues. The car maker said that it has agreed to settle with attorneys of 10 more states. The settlement follows the company's admission to three criminal cases filed against them for using "illegal device" software in diesel cars to cheat on emission tests.
The Green Car Reports reveals that the new agreement includes claims by consumers that was not included in earlier and wider class-action settlement finalized in January. Under the terms of settlement, Volkswagen America will pay $157.5 million to be divided among 10 states, which adopted California's stricter vehicle emission standards under Section 177 of the Clean air Act.
The new agreement includes charges related to not only 450,000 TDI 4-Cylinder 2.0-liter diesel cars but also includes 85,000 vehicles from Audi, Porsche, and Volkswagen that runs on the 3.0-liter V6 diesel engines. Previous settlements with 44 states, the District of Columbia, and Puerto Rico last July did not include the V6 engines.
The 10 states that covers the new settlement includes Connecticut, Massachusetts, Oregon, New York, Pennsylvania, Delaware, Maine, Vermont, Rhode Island, and Washington. In the United States alone, it has cost Volkswagen more than $20 billion with still hundreds of claims to be resolved in the European Union.
Last July, Volkswagen agreed to a buyback plan and a possible fix that covers car owners, the US government, and 44 states. Bloomberg reveals that the plan will cost the company $15.3 billion once the agreements are fully implemented. The pact consumed almost all of the 16.2 billion Euros it has set aside for the cost of the scandal worldwide. Aside from the US, Volkswagen also has lawsuits in Germany and South Korea.
As to the amount of the buyback plan, the Los Angeles Times revealed that it will all depend on how many car owners will take advantage of the offer. Under the buyback deal, owners of 2-liter diesel cars made by Volkswagen from 2009-2015 will receive $12,500 to $44,000 from the car maker to buy back their cars. Owners also have the option to have their cars modified to pass emission tests.