By Ben Glickman


Ford Motor will pay $365 million to settle charges that it skirted certain fees on imported vehicles by installing temporary features and understating their value.

The automaker allegedly put in temporary features in imported Transit Connect cargo vans from Turkey in order to avoid a 25% duty rate on cargo vehicles, according to the Justice Department.

The Justice Department said Monday that, from 2009 to 2013, Ford installed "sham rear seats and other temporary features," but the vehicles imported were never meant to carry passengers. Officials alleged that the company later removed the rear seats.

Ford also settled allegations that it avoided paying import duties by understating to customs officials the value of some Transit Connect vehicles.

The settlement payment of $365 million includes $183.5 million in restitution for lost duties. The remainder is penalties against the company.

Ford didn't admit liability as part of the settlement.


Write to Ben Glickman at ben.glickman@wsj.com

(END) Dow Jones Newswires

03-11-24 1509ET