A Toyota subsidiary has agreed to pay more than $1.6 billion and plead guilty for violations related to the submission of false and fraudulent engine emission testing and fuel consumption data to regulators and the illicit smuggling of engines

U.S. officials announced a $1.6 billion deal with Toyota's Hino Motors unit to settle charges it deceived regulators about the amount of emissions spewed by its diesel engines.

Toyota subsidiary Hino Motors will pay $1.6 billion to settle a fraud case that alleged the company deceived regulators about emissions amounts from its diesel engines, U.S. officials have announced.

A Toyota Motor Corp unit agreed to plead guilty and pay over $1.6 billion in a settlement with U.S. government agencies to settle violations related to an emissions fraud scheme, the U.S. Justice Department said in a statement on Wednesday.

Hino Motors, a Toyota subsidiary, will pay $1.6 billion to the federal government and state of California to resolve criminal and civil allegations of emissions fraud. The settlement announced Wednesday is one of the largest criminal and civil penalties in the history of EPA’s mobile source program.

Toyota Motor unit Hino Motors on Wednesday was charged with fraud in U.S. District Court in Detroit for unlawfully selling 105,000 heavy-duty diesel engines in the United States that did not meet emissions standards.

US officials late Wednesday announced a $1.6 billion deal with Toyota subsidiary Hino Motors to settle charges it deceived regulators about the amount of emissions spewed by its diesel engines.