Volkswagen Group Massive Emissions Fraud Scheme

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Via ABG:
Audi fined $925 million in Germany for dieselgate scandal
Audi's former CEO, meanwhile, remains in jail
https://www.autoblog.com/2018/10/16/audi-fined-925-million-diesel-scandal/

. . . The prosecutors' statement said the resolution of the case did not affect a related investigation of individuals. Former Audi CEO Rupert Stadler remains in jail while prosecutors investigate individual involvement in the diesel scandal. Volkswagen has paid more than $30 billion in fines, settlements and recall costs since the scandal broke. Former CEO Martin Winterkorn and other executives face criminal charges in the United States, though they cannot legally be extradited. Two Volkswagen executives were sent to prison in the U.S.

Prosecutors said the failure of proper corporate oversight by Audi AG enabled deliberate wrongdoing by individuals. It said 5 million euros of the fine was imposed for the oversight failure and 795 million represented Audi's forfeiture of economic gains from the violation, including profits from selling the cars, competitive advantages, and savings on the costs of producing vehicles that actually would have conformed to legal requirements.

Audi said it would not contest the fine. It said the amount would mean that the division would "significantly undercut" its financial targets for the current year. "Audi accepts the fine and, by doing so, admits its responsibility," the company said in a statement.

A similar 1 billion-euro fine was imposed on Volkswagen by prosecutors in Braunschweig in June.
 
I didn't seriously think the German government would hold a German company accountable beyond a wrist slap. But I guess when there is money to be moved from corporate pockets to politician pockets, there can be more resolve. Sad they are getting off with simply writing a check. The article doesn't mention anything about addressing those vehicles that are running around and polluting the environment or compensating the customers who bought them thinking they were clean diesels. There is the reference to VW's recall costs, but that is probably the US recall in that number. Correct me if there has been a required EU recall.

But hey, looks like the German gov't has a nice new large slush fund to play with. I like how the journalism glossed over where that money will be going and who will be deciding its use.
 
DarthPuppy said:
I didn't seriously think the German government would hold a German company accountable beyond a wrist slap. But I guess when there is money to be moved from corporate pockets to politician pockets, there can be more resolve. Sad they are getting off with simply writing a check. The article doesn't mention anything about addressing those vehicles that are running around and polluting the environment or compensating the customers who bought them thinking they were clean diesels. There is the reference to VW's recall costs, but that is probably the US recall in that number. Correct me if there has been a required EU recall.

But hey, looks like the German gov't has a nice new large slush fund to play with. I like how the journalism glossed over where that money will be going and who will be deciding its use.
Ya. It's sad we live in a society where "crime and punishment" means "let the government decide on how to make and use money." I agree that if a company like VW does something wrong they should right their wrong, fix their mistake, make things right. Governments should make money on taxes. Fines should be used to fund making things right. If I saw off your catalytic converter, would it make sense that I pay the government a hefty fine while you get nothing and your car still sits there without a catalytic converter?

But who knows. Maybe the German Government is going to use that money for something ecological.
 
If I saw off your catalytic converter, would it make sense that I pay the government a hefty fine while you get nothing and your car still sits there without a catalytic converter?

That is pretty much how it works unless restitution is part of a plea deal.
 
Thanks for the update. Since I'm US focused, I wasn't aware they had fixed the cars in Europe.

I still think it dubious that the fines are going to the government without any indication on how the funds will be used or who will allocate their usage.
 
Now Audis are getting recalled for the fixes. Via GCC:
With KBA approval, Audi to start recall of diesel models in Germany
https://www.greencarcongress.com/2018/11/20181113-audi.html

On Wednesday, Audi will begin the first of eight recalls for cars with V TDI engines in Germany. Following approval by the Federal Office for Motor Traffic (KBA) the company will initially be recalling around 31,200 vehicles to the workshops. In total, around 151,000 midsize and full-size cars in Germany are affected by the eight recall notices.

In the first wave, Audi A6 and Audi A7 Sportback models will be recalled into the workshops in Germany. This involves 31,200 vehicles powered by a 3.0 TDI engine with an output of 200 kW from the model years 2015 through 2018.

A software module will be removed from the engine management system as part of the recall. This update is free of charge for Audi customers and will not adversely affect fuel consumption, CO2 emission figures, engine output, maximum torque, noise emissions or the durability of the engine and the exhaust aftertreatment system. . . .

The other recalls will also start immediately as soon as they have been approved by the Federal Office for Motor Traffic.
 
ABG:
VW could face recall of more cars over emissions in Germany
There are 370,000 of the models under investigation in Europe
https://www.autoblog.com/2019/01/13/vw-diesel-emissions-recall-germany/

BERLIN – Germany's Federal Motor Transport Authority (KBA) is considering recalling more Volkswagen cars due to its emissions scandal, the Bild am Sonntag newspaper reported on Sunday. The KBA has opened an investigation into whether a software update for 1.2-liter engine cars, including the popular Polo, enabled them to cheat emissions tests, the newspaper said, without naming its sources.

The Bild am Sonntag said prosecutors were preparing charges against unnamed Volkswagen managers for suspected fraud, noting that the company had given assurances in 2016 that the 1.2 liter engines did not use illegal emissions cheating defeat devices. . . .
 
Related, via ABG:
U.S. judge rules Mercedes owners diesel emissions lawsuit can proceed
Lawyer contends Daimler and Bosch 'tried to scam consumers'
https://www.autoblog.com/2019/02/04/us-mercedes-owners-diesel-emissions-lawsuit/

WASHINGTON — A federal judge allowed most claims against Daimler AG to move forward in a 2016 lawsuit by vehicle owners that claims the German automaker's Mercedes diesel vehicles used illegal software to emit excess emissions.

In a ruling late on Friday, Judge Jose Linares of U.S. District Court in New Jersey also said that claims against auto supplier Robert Bosch GmbH can proceed, rejecting a bid by the German companies to throw out the lawsuits. . . .
 
'Dieselgate': SEC alleges Volkswagen 'perpetrated a massive fraud' and repeatedly lied to US investors
https://www.cnbc.com/2019/03/15/dieselgate-sec-says-volkswagen-perpetrated-fraud-lied-to-investors.html

2 charged in theft of Dieselgate VWs and Audis at Pontiac Silverdome
About 61 vehicles disappeared from the lot in 2017
https://www.autoblog.com/2019/03/13/dieselgate-vw-audi-thefts-pontiac-silverdome/
 
I'm not sure how true this is. But apparently VW has spent much more on it's own electric vehicle research and development than what it has in fines over dieselgate. At least according to:

[youtube]http://www.youtube.com/watch?v=5utHs4iPJ-s[/youtube]
 
It is not true in the least. The big numbers come from a MOA related to future battery purchases.
 
GCR:
German prosecutors find collusion between automakers over diesel emissions
https://www.greencarreports.com/new...sion-between-automakers-over-diesel-emissions

.. . On Friday, anti-trust regulators for the European Union charged BMW, Daimler, and Volkswagen with colluding to block the introduction of effective diesel and gasoline emissions technology.

Two years ago, European Union officials raided the offices of all three automakers looking for evidence of such collusion after tests in the U.S. and Europe showed that diesels produced by the company (as well as, later, in Jeeps and Ram trucks produced by Fiat Chrysler), emitted as much as 40 times the allowable limits of nitrogen oxides when driven on the roads. . . . .

In letters to the three automakers, officials alleged that the collusion took place during technical meetings of the "circle of five" German automakers, including Volkswagen divisions Porsche and Audi, between 2006 and 2014, according to a Reuters report.

“Daimler, VW, and BMW may have broken EU competition rules. As a result, European consumers may have been denied the opportunity to buy cars with the best available technology,” said European Competition Commissioner Margrethe Vestager in a statement to the press.

The charges are focused on the automakers' use of selective catalytic reduction systems, or urea injection, as well as "Otto" particulate filters for gas-powered cars. . . .

Volkswagen has already paid $1.2 billion in fines in Germany over its diesel emissions shortfalls. BMW and Daimler have paid $9.5 million. All three automakers have shifted their focus from developing new diesels to spending billions of dollars to develop electric cars and build up supplies of batteries to power them.

EU regulators said the new charges are not related to emissions cheat devices. but to failing to offer the latest, most effective emissions reduction technologies to European consumers (for both gas and diesel engines.)

Volkswagen and BMW each face hefty additional fines related to the charges. BMW set aside $1.1 billion to cover possible fines, but told Reuters it will fight the charges by every legal means available. Volkswagen has not responded to the charges, saying it needed time to review them. Daimler does not expect to be fined, because it alerted authorities to the alleged collusion.
 
ABG:
VW former CEO Martin Winterkorn charged with fraud in diesel scandal
He and four others could face prison, forfeit millions of dollars
https://www.autoblog.com/2019/04/15/vw-former-ceo-martin-winterkorn-charged-graud-diesel/

German prosecutors have indicted former Volkswagen CEO Martin Winterkorn and four others on charges of fraud and unfair competition, saying he failed to prevent the manipulation of engine software that let Volkswagen cars cheat on diesel emission tests.

Prosecutors in Braunschweig said Monday that Winterkorn knew about the deceptive software since at least May 25, 2014, despite his public statements he only became aware of the issue shortly before the scandal broke in September 2015.

The prosecutors said the defendants — all of them top Volkswagen managers — were part of an ongoing deception that started in 2006. . . .

The prosecutors say that the defendants added a software update costing 23 million euros in 2014 in an attempt to cover up the true reason for the elevated pollution emissions during regular driving.

Winterkorn and the others face from six months to 10 years imprisonment if convicted on charges of aggravated fraud involving serious losses. Bonuses collected due to sales based on the deception could be forfeited. Prosecutors said bonus that could be forfeited ranged from around 300,000 euros to 11 million euros ($340,000 to $12.45 million). . . .
 
GCR:
Porsche fined $600 million in Germany over dirty diesels
https://www2.greencarreports.com/ne...ned-600-million-in-germany-over-dirty-diesels

German regulators Tuesday hit Porsche with a $600 million (535 million euro) fine, for its role in selling cars powered by diesel engines designed by Audi that failed to comply with European emissions requirements.

The cars, including the Cayenne and Panamera, used a 3.0-liter diesel V-6, exceeded European emissions standards for oxides of nitrogen, which contribute to smog.

An investigation the regulators conducted found that Porsche employees turned a blind eye to the emissions cheating starting in 2009. In a release announcing the fine, Porsche emphasized that investigators found the negligence "several levels below" executive positions.

The fine represents the last action against Porsche, and one of the last against VW, to close out the legal repercussions of the larger VW emissions cheating scandal. In September, Porsche announced that it will stop selling diesels altogether as it focuses on developing and selling new electric models such as the new Taycan electric performance sedan due out late this year. . . .
 
VW's Pike's Peak car did a lap around Nürburgring.

Volkswagen I.D. R

6:05.336

Air cooled battery.

919 Evo Porsche is the only car faster, at an amazing 5:19.546

https://www.youtube.com/watch?v=9iZY5IMn0wg
 
GRA said:
What does this have to do with Dieselgate? There must be some other topic this would better fit in, or else start one.

VW is trying to recover from Dieselgate by promoting and maybe even selling EVs.
 
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