FCA to Pay $110M to Settle Suit
April 9, 2019—FCA has agreed to pay $110 million to settle a lawsuit alleging it misled U.S. investors over excess diesel emissions and failed to comply with federal safety regulations, according to a report from Reuters.
The company said in a statement on Monday it “continues to vigorously deny the allegations of wrongdoing made in this lawsuit” and said the settlement is “completely covered by the company’s insurance.”
The lawsuit covers investors who bought Fiat Chrysler stock on a U.S. exchange between Oct. 13, 2014 and May 23, 2017.
In 2015, Fiat Chrysler settled allegations with the National Highway Traffic Safety Administration that it failed to properly complete 23 recalls affecting more than 11 million vehicles. It paid a $105 million U.S. penalty, conducted additional recalls and agreed to buy back hundreds of thousands of vehicles. In January, Fiat Chrysler agreed to an $800 million settlement to resolve claims by the U.S. Justice Department and the state of California that it used illegal software to produce false results on diesel-emissions tests.