Volkswagen Slapped With FTC Lawsuit

(RTTNews) - The Federal Trade Commission has filed a lawsuit against Volkswagen AG alleging that the German auto maker deceived customers by falsely advertising its diesel vehicles as environmentally friendly.

In a complaint filed in federal court, the FTC alleges that during this seven-year period Volkswagen deceived consumers by selling or leasing more than 550,000 diesel cars based on false claims that the cars were low-emission, environmentally friendly, met emissions standards and would maintain a high resale value.

"For years Volkswagen's ads touted the company's 'Clean Diesel' cars even though it now appears Volkswagen rigged the cars with devices designed to defeat emissions tests," said FTC Chairwoman Edith Ramirez. "Our lawsuit seeks compensation for the consumers who bought affected cars based on Volkswagen's deceptive and unfair practices."

FTC says that Volkswagen promoted its supposedly "clean" cars through a high-profile marketing campaign that included Super Bowl ads, online social media campaigns, and print advertising, often targeting "environmentally-conscious" consumers.

The complaint was filed in the U.S. District Court for the Northern District of California, San Francisco Division.