Volkswagen has agreed to pay $32.5 million to the state of New York as part of a multistate environmental settlement tied to its “clean diesel” emissions scandal.

The settlement, announced on Thursday by New York Attorney General Eric Schneiderman, is part of a $157 million agreement with 10 states under which Volkswagen admitted to installing “defeat devices” in its diesel vehicles to skirt emissions tests. The payment is New York’s first environmental enforcement penalty against an automaker over emissions violations and is the largest air pollution fine ever obtained by the state. Volkswagen also has agreed to triple the number of electric car models in the state by 2020.

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