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Volkswagen to pay Arizona $40 million over emissions scandal

(Pixabay Photo)

PHOENIX – Volkswagen agreed to a $40 million settlement with the state of Arizona over false claims involving the carmakers’ “clean diesel” vehicles, state Attorney General Mark Brnovich announced Wednesday.

Arizonans who bought or leased certain Volkswagen, Audi and Porsche diesel models from 2008 to 2015 will get $10.5 million in direct consumer restitution, up to $1,000 per vehicle.

Half the settlement is a $20 million penalty that will go into the state’s general fund, earmarked for education purposes. The remaining money goes to attorneys’ fees and costs and the Attorney General’s Office Consumer Revolving Fund to be used in future consumer enforcement.

“I wanted to make sure that our folks received the maximum amount of restitution, which they did as a result of our lawsuit,” Brnovich told KTAR News 92.3 FM.

“And furthermore I wanted to make sure that the penalties that we imposed on Volkswagen were enough to deter any sort of future wrongdoing and also to make sure they were properly punished for their false advertising.”

In 2015, the German auto manufacturer admitted to cheating on emissions tests in the United States and using the falsified results to market its diesel cars.

Arizona pursued a consumer fraud lawsuit separately from a multi-state settlement by Volkswagen that was finalized in 2016.

“As a result of our lawsuit in state court, our customers … will indeed get an additional $1,000 — up to $1,000 — on top of what they may have received as part of that earlier settlement,” Brnovich said.

Wednesday’s settlement made Arizona the first state to obtain direct consumer restitution in the matter.

A third-party administrator will be selected to identify and notify harmed Arizona consumers.

Here are the vehicles covered:

2.0-liter diesel models

• 2009: VW Jetta, VW Jetta Sportwagen.

• 2010: VW Golf, VW Jetta, VW Jetta Sportwagen, Audi A3.

• 2011: VW Golf, VW Jetta, VW Jetta Sportwagen, Audi A3.

• 2012: VW Golf, VW Jetta, VW Jetta Sportwagen, Audi A3, VW Passat.

• 2013: VW Golf, VW Jetta, VW Jetta Sportwagen, Audi A3, VW Passat,  VW Beetle, VW Beetle Convertible.

• 2014: VW Golf, VW Jetta, VW Jetta Sportwagen, VW Passat, VW Beetle,  VW Beetle Convertible.

• 2015: VW Golf, VW Golf Sportwagen, VW Jetta, Audi A3, VW Passat, VW Beetle, VW Beetle Convertible.

3.0-liter diesel models

• 2009: VW Touareg, Audi Q7.

• 2010: VW Touareg, Audi Q7.

• 2011: VW Touareg, Audi Q7.

• 2012: VW Touareg, Audi Q7.

• 2013: VW Touareg, Audi Q7, Porsche Cayenne Diesel.

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