What options do I have to get my car and money back?

First of all, you don't go to a random car dealership and ask for their recommendation on what's a reliable car. That's the last thing you should do! Car salesman aren't your friends. All they want to do is sell a car, and if they have to screw you, they will. In fact, if you did any research at all, you'd have known that an old Volkswagen is about the worst used car you can buy. I understand you were probably in a tough situation and needed a car quickly but really, you should know better.