ALBANY, N.Y.--Royal Chrysler Oneonta Inc. settled an investigation by the New York State attorney general's office. The dealer agreed to pay $6,000 in penalties and costs to the state for false and misleading advertising.

The attorney general's office claimed that Royal Chrysler Oneonta's ads:

• Lured customers by offering sales tax exemptions that only applied to vehicles mostly used in farming
  

  
  

• Misled consumers about the dealer's ultimate cost for a vehicle
  

  
  

• Falsely implied that all customers would get $3,000 off the vehicle purchase price regardless of the condition of their trade-in
  

  
  

• Falsely implied that the dealer would pay the balance of the customer's loan if they purchased a vehicle when, actually, the outstanding balance would be rolled into financing the new purchase
  

  
  

• Falsely implied that a sale is being conducted by someone besides the dealership; therefore consumers could purchase vehicles at a lower price
  

  
  

• Violated federal rules by enticing consumers with free gifts because the vehicle's negotiated price included the cost of the gift