Volkswagen loses A$125 million fine appeal for emissions breach in Australia

Business

Australian competition regulator said on Friday the federal court dismissed Volkswagen’s appeal against a record A$125 million ($95.1 million) fine on the German car maker, which was part of a global emissions cheating scandal.

The federal court fined Volkswagen in December 2019 for breaching the Australian consumer law by making false representations about compliance with the country’s diesel emissions standards. (reut.rs/3sYH333)

Volkswagen later appealed this decision, insisting that the court impose the A$75 million penalty amount agreed upon with the Australian Competition and Consumer Commission (ACCC), the regulator said.

In an emailed statement to Reuters, Volkswagen said it believes that A$75 million was “fair” and it would review the federal court’s decision and consider its options.

ACCC had previously said the breach occurred between 2011 and 2015 and the automaker admitted to fitting its vehicles with a defeat device, causing them to operate in one mode for the purpose of emissions testing and another when being driven.

The case in Australia was part of a host of legal suits that the car maker was embroiled in different parts of the world after it was found using prohibited engine-control software to pass pollution tests in the United States in 2015.