Mercedes-Benz is paying up for violating federal fuel-efficiency requirements set by the government. The German automaker’s U.S. division cashed out $28.9 million in fines in December for imported passenger cars from the 2007 model year, the National Highway Traffic Safety Administration said.

NHTSA said that it assessed more than $37 million in fines from a total of 6 automakers in 2008. The fines were established to make sure that automaker produce vehicles that meet basic gas mileage standards.

Volkswagen paid out a total of $4.5 million in August for light-truck violation while Porsche and Maserati each paid $1.2 million. Ferrari North America cashed out a total of $1.1 million.

NHTSA said that the Mercedes-Benz fine was the second-largest ever assessed by the organization for CAFE violations. Who held the previous record? DaimlerChrysler paid $30.3 million in fines in 2007 from the 2006 model years.

On a side note: The Mercedes-Benz S400 BlueHYBRID will be launched in the North American market in September 2009.

Source: Detroit Free Press