VW to pay Washington $26 million for deceptive marketing of cars

OLYMPIA – Volkswagen will pay Washington some $26 million as a penalty for deceptive marketing of motor vehicles that weren’t as “green” as the company claimed.

Attorney General Bob Ferguson said the payment is in addition to restitution to buyers of the vehicles the company claimed had clean diesel technology.

As part of the settlement of federal and state litigation, Volkswagen will pay states $1,100 per car for violating consumer protection laws. In Washington, that covers 22,170 vehicles, plus more than $1.7 million to the state for being a leader in the investigation.

The company also must implement a restitution and recall program for vehicles with 2.0 liter diesel engines built between 2009 and 2015 and pay $2.7 billion into a trust account to mitigate environmental damage. Under terms of the agreement, Washington could receive $103 million for mitigation projects.