Volkswagen AG and the U.S. Justice Department have held preliminary settlement talks about resolving a criminal probe into the automaker’s diesel emissions scandal, two sources briefed on the matter said. Reuters reported in June that a criminal settlement could include a consent decree, an independent monitor overseeing the German automaker’s conduct and significant yet-to-be determined fines for emissions violations. The Wall Street Journal reported on Monday that the fines could top $1.2 billion. The pace of VW’s internal investigation together with complications from separate civil suits filed in July by three U.S. states have slowed progress on reaching a settlement of the criminal investigation, according to people familiar with the probe. The Justice Department declined to comment.