U.S. Seeks Major Fines, Recalls in Fiat Diesel Settlement

The U.S. Justice Department has offered to settle its emissions-cheating lawsuit against Fiat Chrysler Automobiles NV if the automaker recalls 104,000 vehicles and pays a substantial but unspecified civil penalty.

The proposed framework of an offer was extended to the Italian-American car company last week and included steps it would have to take to mitigate its past pollution and make internal changes to prevent future violations of environmental rules, according to a copy of the settlement offer obtained by Bloomberg News.

The settlement “must include very substantial civil penalties” large enough to deter future violations and that “adequately reflect the seriousness of the conduct that led to these violations,” Justice Department lawyers wrote in a Jan. 27 letter to Fiat Chrysler attorneys. read more »

VW seeks delay in US trial after lawyer references monkey testing, Hitler

The U.S. unit of Volkswagen AG on Friday asked a U.S. judge to delay several court trials it is facing over excess emissions because it fears "inflammatory" comments made by a lawyer representing car owners in a recent TV documentary will prejudice the jury.

Although nearly all U.S. owners agreed to take part in a 2016 settlement, the German carmaker is being sued by some consumers after it admitted in September 2015 to cheating on diesel emissions tests, sparking the biggest business crisis in its history.

The first consumer fraud trial involves a North Carolina man who bought a 2014 diesel Jetta, and is set for Feb. 26.

But according to a legal filing, Volkswagen of America asked a judge in Fairfax County, Virginia to delay that trial for at least six months on Friday after a lawyer for more than 300 U.S. VW diesel owners, Michael Melkersen, gave an interview in which he referred to the company testing diesel fumes on monkeys. read more »