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The US Department of Justice Is Suing Volkswagen for Tens of Billions of Dollars for Cheating

The automaker has admitted to installing devices in 600,000 vehicles that circumvented emissions tests in the United States.
Photo by Rajat Gupta/EPA

The US Department of Justice is suing Volkswagen for $48 billion over alleged violations of the US Clean Air Act, according to Reuters. The automobile company has admitted to installing devices that circumvented emissions control systems in nearly 600,000 vehicles in the United States, in addition to several million more automobiles in Europe.

"Car manufacturers that fail to properly certify their cars and that defeat emission control systems breach the public trust, endanger public health and disadvantage competitors," Assistant Attorney General John C. Cruden for the Justice Department's Environment and Natural Resources Division said in a statement. "The United States will pursue all appropriate remedies against Volkswagen to redress the violations of our nation's clean air laws alleged in the complaint."

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Vehicles operating with the so-called defeat devices emitted up to 40 times the amount of nitrogen oxides allowable under US emissions regulations, according to the Environmental Protection Agency. When nitrogen oxides mix with ground level ozone and fine particulate matter they can cause respiratory ailments like asthma or premature death, particularly in children, the elderly, or individuals with pre-existing respiratory illness.

In a statement, the company said, "Volkswagen will continue to work cooperatively with the EPA on developing remedies."

Volkswagen could face fines of as much as $37,500 per vehicle for each of two violations of the law, $3,750 for each defeat device installed, and another $37,500 for each day of violation, according to a Reuters review of the civil complaint.

The Justice Department is also pursuing criminal charges against the company. But the burden of proof is higher for criminal cases than under civil suits because in a criminal case the agency will have to prove intentional deception.

Related: Here's How Elon Musk Wants to Punish Volkswagen for Cheating

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