WASHINGTON (Reuters) – Volkswagen Group of America’s wholly owned finance unit has agreed to pay $48.75 million to resolve a government lawsuit that accused the German automaker and its former CEO of defrauding investors in U.S. bond offerings.
The Securities and Exchange Commission filed a civil lawsuit in March 2019 accusing Volkswagen AG, two subsidiaries and former chief executive Martin Winterkorn of defrauding investors. The SEC is dismissing claims against Volkswagen AG and Winterkorn.
The settlement with Volkswagen Group of America Finance filed Friday marks the last significant legal action related to the diesel emissions scandal in the United States that cost the German automaker more than $20 billion in fines, penalties and settlements after it admitted it had cheated emissions tests by installing so-called “defeat devices” and sophisticated software.
(Reporting by David Shepardson; Editing by Chizu Nomiyama)
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