Attorney General Frosh Announces Compensation for Maryland Consumers Under Settlements with Volkswagen Over Emissions Fraud

VW Required to Repurchase or Fix Falsely-Marketed Diesel Vehicles, Provide Restitution and Address Environmental Harms; Attorneys General Obtain More Than $570 Million from VW

Baltimore, MD- Maryland Attorney General Brian E. Frosh today announced a settlement requiring Volkswagen to pay more than $570 million for violating state laws prohibiting unfair or deceptive trade practices by marketing, selling and leasing diesel vehicles equipped with illegal and undisclosed defeat device software. This agreement is part of a series of state and federal settlements that will provide cash payments to affected consumers, require Volkswagen to buy back or modify certain VW and Audi 2.0-liter diesel vehicles, and prohibit Volkswagen from engaging in future unfair or deceptive acts and practices in connection with its dealings with consumers and regulators. Volkswagen must pay more than $15 million to settle the claims brought by the Maryland Office of Attorney General.

"Volkswagen's deceptions are particularly egregious because they told consumers that these cars - which are environmental nightmares - were good for the environment, even going so far as saying they were as environmentally friendly as hybrids. Consumers who bought these cars not only did not get what was advertised, but they also paid a premium because they wanted to be responsible environmental stewards," said Attorney General Frosh. "Instead, they have unwittingly been driving cars that were spewing up to 40 times more pollution than allowed by law. My Office will not tolerate companies that lie to consumers and endanger our environment for the sake of profit."

The attorneys generals' investigation confirmed that Volkswagen sold more than 570,000 2.0- and 3.0-liter diesel vehicles in the United States equipped with "defeat device" software intended to circumvent applicable emissions standards for certain air pollutants, and actively concealed the existence of the defeat device from regulators and the public. Volkswagen made false statements to consumers in their marketing and advertising, misrepresenting the cars as environmentally friendly or "green" and that the cars were compliant with federal and state emissions standards, when, in fact, Volkswagen knew the vehicles emitted harmful oxides of nitrogen (NOx) at rates many times higher than the law permitted.
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