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Posts Tagged ‘vw diesel criminal investigation’

Latest VW Diesel Deal Could Be Even More Costly

German maker could pay $4b, triple initial pricetag, if it can’t fix 3-liter engine.

by on Feb.01, 2017

A line-up of Audi TDI models. The automaker may have to boost its reserve to cover the diesel scandal.

The settlement covering a rigged, 3.0-liter turbodiesel could cost Volkswagen as much as $4 billion if it cannot come up with the necessary fix for nearly 60,000 vehicles whose engines were rigged to illegally pass U.S. emissions tests – at least three times more than the initial settlement calls for.

The impact of the scandal – which previously saw VW agree to pay out $14.7 billion to cover nearly 500,000 vehicles using a smaller diesel engine – continues to grow, and to spread. German mega-supplier Robert Bosch GmbH now has negotiated its own settlement, which will require it to pay $327.5 million to American owners of VW diesels.

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Meanwhile, VW’s Audi division is now examining whether it has set aside enough money to cover its share of the burden. It has already set the figure at 980 million euros, or $1.06 billion at the current exchange rate. Audi sold a number of different models in the U.S. using both the 2.0- and 3.0-liter turbodiesels.

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VW Agrees to $4.3 Bil Criminal Settlement in VW Diesel Scandal

No “rogues”; “very significant people in company” were involved.

by on Jan.11, 2017

"They obfuscated, they denied and they ultimately lied," said Attorney General Loretta Lynch.

The U.S. Justice Department and several other federal agencies have announced a $4.3 billion settlement of the criminal investigation of Volkswagen AG’s diesel emissions rigging, regulators also revealing that six executives have been indicted on charges ranging from wire fraud to conspiracy to defraud the government.

Justice officials said the investigation will continue into actions that might have been taken by other officials. The list of those involved in the scandal, they noted during a Wednesday afternoon news conference in Washington, D.C., include some “very significant people in the company,” one executive managing more than 10,000 other employees. The automaker had previously tried to downplay the situation, insisting on several occasions that only a “handful” of “rogue” workers had been involved.

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“It is now clear Volkswagen’s top officials knew about these activities and kept the American government and the American people in the dark,” said Andrew McCabe, deputy director of the FBI, “and they did it for years.”

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