In a landmark settlement, Cummins Inc. (NYSE:CMI) is ordered to recall 600,000 Ram Trucks. The engine manufacturer has been implicated in an emissions cheating scandal, leading to a record-breaking $2 billion penalty.

What Happened: The Department of Justice (DOJ) revealed on Wednesday details of a December settlement involving Cummins, AP News reported. The firm is accused of evading emissions testing by employing devices that can circumvent or disable emissions controls.

The agreement requires a recall of 600,000 Ram trucks fitted with Cummins diesel engines carrying the illicit engine control software. Cummins is set to pay a civil penalty of $1.67 billion, the highest ever under the Clean Air Act, in addition to $325 million for remedial actions. This brings the total penalty to over $2 billion.

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The U.S. Justice Department, the Environmental Protection Agency, the California Air Resources Board, and the California Attorney General have dubbed this a “landmark” settlement. “We won’t let greedy corporations cheat their way to success and run over the health and wellbeing of consumers and our environment along the way,” declared California AG Rob Bonta.

Cummins responded by stating that the settlement does not involve any additional financial commitments beyond those announced in December and is eager to finalize this prolonged issue.

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