Judge Orders Volkswagen To Pay $2.8 Billion Fine

The world's biggest carmaker will be shelling out billions throughout the world in wake of massive scandal

Emissions test of a Volkswagen Golf 2.0 TDI — AFP/Getty Images
Apr 21, 2017 at 1:10 PM ET

In an unprecedented settlement, Volkswagen has been ordered to pay $2.8 billion to the U.S. as a criminal penalty in court, pushing the company’s massive emissions scandal closer to its end.

According to the AP, U.S. District Judge Sean Cox referred to Volkswagen’s actions as a “deliberate massive fraud” during the sentencing.

“Who has been hurt by this corporate greed?” he asked. “From what I can see it’s not the managers at VW, the ones who get paid huge salaries and large bonuses. It’s always the little guy.”

Last month, Volkswagen plead guilty to three felony charges, admitting to rigging their vehicles with software that allowed its cars to pass emissions testing. Nearly 600,000 cars were affected in the U.S. in addition to another 8 million worldwide. The company’s deception has led scientists at the Massachusetts Institute Of Technology to estimate that 1,200 premature premature deaths to occur worldwide.

The $2.8 billion fine is part of a settlement that the car manufacturer reached with the U.S. Justice Department in January. The company will also pay $11 billion in total as it buys back cars and offers compensation to affected customers.

Seven Volkswagen employees working in the U.S. have also been charged with crimes relating to the scandal. Five others who live in Germany have not yet been arraigned, and the AP now reports it is unlikely they will be extradited.