VW to pay $1.2-billion German fine

BERLIN (AFP) – Auto giant Volkswagen said Wednesday it would pay one billion euro ($1.2 billion) fine imposed by German prosecutors for diesel emissions cheating.

“The Braunschweig public prosecutor issues an administrative order against Volkswagen AG in the context of the diesel crisis and imposes a fine of EUR1 billion on Volkswagen AG,” the company said in a statement.

The German car giant said it had “accepted the fine” and would not lodge an appeal.

“Volkswagen AG, by doing so, admits its responsibility for the diesel crisis and considers this as a further major step towards the latter being overcome.”

The prosecutors said the penalty was “one of the highest fines ever imposed on a company in Germany” and stressed that it was unrelated to civil cases seeking compensation or ongoing criminal investigations against the people involved.

The mammoth carmaker admitted in 2015 to fitting 11 million vehicles worldwide with “defeat devices” – software designed to trick regulators into thinking cars met emissions standards.

In fact, output of harmful fine particulates and nitrogen oxides (NOx), which can cause respiratory and heart diseases, was far higher than legally permitted.

VW's admission had so far cost it more than 25 billion euros in buybacks, fines and compensation, and the company remains mired in legal woes at home and abroad.