Volkswagen agrees to $14.7 billion settlement over diesel emissions scheme

DETROIT >> Lawyers say Volkswagen’s $14.7 billion settlement aounced Tuesday is the largest auto-related consumer class-action settlement in U.S. history.

VW admitted to installing software that tued on pollution controls during emissions testing then tued them off when the cars were on the road.

As part of the settlement, the company must offer to buy back most of the affected 475,000 cars with diesel engines, or terminate their leases. That’s because, according to court documents filed Tuesday, there currently is no repair that can bring the cars into compliance with U.S. pollution regulations. If VW does propose a repair, it must be approved by the Environmental Protection Agency and the Califoia Air Resources Board.

They each will also receive compensation of $5,100 to $10,000, according to a person briefed on the settlement talks.

The settlement also includes $2.7 billion for environmental mitigation and another $2 billion for research on zero-emissions technology, the person said.

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