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Feds sue Fiat Chrysler, accuse it of cheating on diesel emissions

WASHINGTON - The US government has filed a civil lawsuit accusing Fiat Chrysler Automobiles NV of using software to bypass emission controls in diesel vehicles. The Justice Department suit, filed in US district court in Detroit, is a procedural step that may ramp up pressure on Fiat Chrysler. The suit could ultimately help lead to a settlement, as in an earlier probe of rival Volkswagen AG that will cost VW up to $25 billion, but which affected a much larger number of vehicles. VW admitted to intentionally cheating while Fiat Chrysler denies wrongdoing. It did not immediately comment on Tuesday. US-listed Fiat Chrysler shares were down 2.9 percent at $10.44. The suit also names Fiat Chrysler's unit V.M. Motori SpA, which designed the engine in question. Reuters reported last week the Justice Department and EPA have obtained internal emails and other documents written in Italian that look at engine development and emissions issues that raise significant questions. The investigation has scrutinized VM Motori. FCA acquired a 50 percent stake in VM Motori in 2010 and the remainder in October 2013. The lawsuit asserts the Italian-American automaker placed undeclared "defeat devices," or auxiliary emissions controls, in 2014-2016 Fiat Chrysler diesel vehicles that led to "much higher" than allowable levels of nitrogen oxide, or NOx pollution, which is linked to smog formation and respiratory problems. The suit seeks injunctive relief and unspecified civil penalties. EPA said in January the maximum fine is about $4.6 billion. In January, EPA and California accused Fiat Chrysler of illegally using undisclosed software to allow excess diesel emissions in 104,000 U.S. 2014-2016 Jeep Grand Cherokees and Dodge Ram 1500 trucks. Fiat Chrysler said on Friday it plans to update software that it expects will resolve the concerns of U.S. regulators about excess emissions in those vehicles. The January notice was the result of regulators' investigation of rival Volkswagen, which prompted the government to review emissions from all other passenger diesel vehicles. Volkswagen admitted in September 2015 to installing secret software allowing its cars to emit up to 40 times legal pollution levels. In total, VW has agreed to spend up to $25 billion in the United States to address claims from owners, environmental regulators, states and dealers and offered to buy back about 500,000 polluting US vehicles.

Feds accuse Fiat Chrysler, UAW of conspiring to break labor laws

DETROIT — Top officials of Fiat Chrysler Automobiles and the United Auto Workers union conspired to violate U.S. labor laws, federal prosecutors alleged in a court document, saying a former executive at the automaker knew bribes paid to union leaders were designed to "grease the skids" in labor negotiations. U.S. Justice Department officials for the first time called the company and the union "co-conspirators" in a document related to a guilty plea agreed by former Fiat Chrysler director of employee relations Michael Brown. The document was filed with the U.S. District Court in Detroit on May 25. Its contents were reported by the Detroit News on Wednesday. Brown pleaded guilty to one count of concealing a felony. The plea agreement stated that he knew Fiat Chrysler executives authorized $1.5 million in improper payments and travel, liquor, cigars and other goods for UAW officials who served on the union's negotiating committee. Prosecutors say FCA executives paid UAW representatives to influence union business. including collective bargaining on contracts ratified in 2011 and 2015. The government contends money was run through the UAW-Chrysler National Training Center, via false charitable donations and training center credit cards. Fiat Chrysler Chief Executive Officer Sergio Marchionne has said in the past that the misconduct "had nothing whatsoever to do with the collective bargaining process" and the "egregious acts were neither known to nor sanctioned" by the company. Fiat Chrysler had no further comment Monday. Outgoing UAW President Dennis Williams told union leaders at a conference in Detroit on Monday "our leadership team had no knowledge of the misconduct — which involved former union members and former auto executives — until it was brought to our attention by the government." Brown pleaded guilty on May 25, according to court documents, and will be sentenced on Sept. 20. Five other people have pleaded guilty in the government's ongoing investigation into the UAW and Fiat Chrysler, including the wife of a late UAW official, two other former UAW employees, former Fiat Chrysler vice president Alphons Iacobelli and another former Fiat Chrysler employee. Reporting By David Shepardson and Nick CareyRelated Video: Government/Legal UAW/Unions Chrysler Dodge Fiat Jeep RAM FCA

Ram 1500 diesel overlander, off-road Jeep Wrangler show present and future of Mopar

Ram and Jeep both have some heavily customized off-roaders for SEMA this year. The Ram is a 2020 1500 Rebel with the diesel engine and an overlanding theme, and the Jeep is a 2020 Wrangler Unlimited with a general off-road theme. Each features loads of Mopar accessories, and, in the case of the Ram, accessories from other companies. They both have a few parts that haven't made it to market yet. 2020 Ram 1500 Rebel View 16 Photos 2020 Ram 1500 Rebel OTG The Ram 1500 has the suffix of OTG, which stands for off-the-grid. It's designed to be an overlanding vehicle perfect for getting you far away from civilization and still have your needs taken care of. As such, the new EcoDiesel with its strong fuel economy and large amounts of torque is a good engine choice, and the Rebel has plenty of rugged style to begin with. That style is augmented by some special concept Mopar parts such as a high-flow grille complete with flow-through Ram block letters, a la the Chevy "Flow Tie," and steel bumper with a retro-fitted Power Wagon winch. Another concept part is the intake snorkel. Dodge also dug into the existing catalog of Ram parts and added the base Tradesman's vinyl flooring for easy interior cleaning, as well as the Tradesman's rear bumper that doesn't have cut-outs for exhaust. The exhaust was then tucked away behind the bumper, giving the truck a better departure angle. Many ready-to-purchase accessories have been added to the Ram 1500 OTG, too. From the Mopar catalog comes off-road lights, rock rails, wheels and bolt-on fender flares. The utility rack, basket and tent all came from Yakima. A roof-mounted solar array along with sliding cooking areas and bed-mounted cooler all come from Dometic. A representative from Dodge also showed how the split tailgate can be used as an easily accesible place to have fold out cooking or table space. 2020-jeep-wrangler-mopar-accessories-01 View 4 Photos 2020 Jeep Wrangler Unlimited While the Ram has parts from all around the aftermarket world, the Jeep Wrangler Unlimited has been outfitted entirely with Mopar parts. And most of those parts are already available, with two exceptions. On one side of the truck, Jeep is showing off some concept mesh covers for its tube-doors. The idea behind them is that they still allow for plenty of air flow, but help keep shrubbery, mud clods and other things from getting in. They're also simple to install or remove, since the slide on and zip up.