A federal judge in Detroit, U.S., on Friday, sentenced Volkswagen AG to three years’ probation over the German automaker’s diesel emissions scandal as part of a 4.3-billion-dollar settlement announced in January.
U.S. District Judge, Sean Cox, said in approving the settlement that requires the automaker to make significant reforms that “this is a case of deliberate and massive fraud.”
He also formally approved a 2.8-billion-dollar criminal fine as part of the sentence.
The plea agreement calls for “organisation probation,” which allows for company to be overseen by an independent monitor for three years.
At the sentencing hearing, a federal prosecutor confirmed that the government planned to name former Deputy U.S. Attorney General, Larry Thompson, as the independent monitor.
Volkswagen pleaded guilty in March to fraud, obstruction of justice and falsifying statements after admitting to installing secret software in 580,000 vehicles.
Reuters first reported Thompson’s expected hiring on Wednesday.
In total, VW agreed to spend up to 25 billion dollars in the U.S. to address claims from owners, environmental regulators, states and dealers and to make buy-back offers.