Fiat Chrysler Stock Sinks as Justice Department Readies Lawsuit

The Justice Department could file a suit under the Clean Air Act as early as this week if no settlement is reached with the Italian-American automaker.

Author:
Giovanni Bruno
Publish date:
May 18, 2017 10:45 AM EDT

The Justice Department could file a suit under the Clean Air Act as early as this week if no settlement is reached with the Italian-American automaker.

Shares of Fiat Chrysler (FCAU) were lower over 2% during mid-morning trading on Thursday on reports the Justice Department is readying to file a civil lawsuit against the automaker for selling 104,000 cars that emit excess diesel emissions.

Reuters reported that the Justice Department could file a suit under the Clean Air Act as early as this week if no settlement is reached with the Italian-American automaker.

The U.S. Environmental Protection Agency and California Air Resources Board in January accused Fiat Chrysler of illegally implementing undisclosed software to allow excess diesel emissions in 104,000 U.S. 2014-2016 Jeep Grand Cherokees and Dodge Ram 1500 trucks.

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