Why Is South Dakota Getting $2.5 Million from Volkswagen?
The German automaker Volkswagen was recently found guilty of cheating on emissions tests and will end up spending up to $15.3 billion in settlements with consumers and governmental agencies.
South Dakota's cut will be $2.5 million as part of a multi-state settlement.
Attorney General Marty Jackley made the announcement on Wednesday, June 29, 2016, one day after the news broke about the largest auto-related class-action settlement in U.S. history.
In the settlement, Volkswagen has agreed to pay the states more than $1,000 per car that violated consumer protection laws, totaling $570 million nationwide.
According to Jackley, "Volkswagen mislead consumers into buying cars that were not what they represented them to be."
Volkswagen acknowledged that cars equipped with 2-liter diesel engines were programmed to activate emissions controls during government lab tests, then deactivate them while the cars were on the road.
Source: Aberdeen News