July 25 (Reuters) - Monsanto will pay $160 million to

settle a lawsuit by the city of Seattle that accused the unit of

Germany's Bayer of polluting the city's drainage

system and the local Lower Duwamish River with toxic chemicals

known as PCBs.

City Attorney Ann Davison announced the settlement on

Thursday, calling it the largest for a single city over PCB

pollution.

In a statement, Monsanto said it will pay $35 million for

PCB remediation, and $125 million to address other Seattle

claims. The company did not admit liability or wrongdoing.

Seattle accused Monsanto of creating a public nuisance by

selling polychlorinated biphenyls for commercial use from 1935

to 1977 despite knowing they polluted the environment, harming

people and wildlife.

The city said PCBs remained over the years in exterior paint

and caulk on buildings, and resulted in contaminated stormwater

flowing into the river.

Seattle sued Monsanto in January 2016. The settlement averts

a scheduled Sept. 23 trial in that city's federal court.

Monsanto said in an August 2022 filing that Seattle had been

seeking nearly $750 million.

The company reached a separate $95 million settlement with

Washington state in June 2020 over PCB contamination.

PCBs were outlawed by the U.S. government in 1979, and have

been linked to cancer, immune system and other health problems.

Monsanto was the only U.S. maker of PCBs. It has said it

stopped making them because they were not readily biodegradable.

In November 2022, Monsanto won court approval for a $650

million settlement with a class of 2,500 local governments over

PCB contamination in various waters.

Other governments chose to sue Monsanto individually.

Monsanto said nine cases remain pending, and that it is

committed to defending itself at trial unless it settles.

Bayer bought Monsanto for $63 billion in 2018. It has also

faced extensive and costly litigation over whether Monsanto's

Roundup weed killer causes cancer.

The case is Seattle v. Monsanto Co et al, U.S. District

Court, Western District of Washington, No. 16-00107.