Post by VWCA_Adman on Jan 12, 2017 10:58:35 GMT -6
VW Pleads Guilty to Fraud, Will Pay $4.3 Billion, Six Executives Indicted
Washington (Bloomberg): As part of its civil and criminal draft settlement with the U.S. regulators, VW will plead guilty to misleading consumers and regulators. It will pay a $4.3 billion fine.
While this marks a clear sign that the firm is moving toward resolving corporate legal entanglements stemming from VW’s diesel emissions cheating, court documents related to the indictment of emissions compliance officer Oliver Schmidt indicate a wider conspiracy or cover-up that involves more than a few rouge engineers.
Besides Schmidt, five more executives face charges of conspiracy to commit fraud and violation of the Clean Air Act: Heinz-Jacob Heusser, Jens Hadler, Richard Dorenkamp, Bernd Gottweis and Jurgen Peter. All were involved in VW’s engine development or quality assurance.
Schmidt was nabbed at the Miami International Airport when returning to Germany from a vacation in the U.S., Saturday. Other German executives indicted are difficult to extradite if they remain in Europe.
VW’s dirty diesels will cost the world’s top-selling automaker for 2016 more than $23 billion dollars in the U.S. and Canada. Unlike GM and Toyota, firms that previously were found guilty of misleading consumers and regulators, VW’s situation differs in that it admits guilt and will pay substantially larger penalties.
It’s believed that VW was determined to reach an agreement with the EPA regarding its misconduct because changes in EPA governance after Donald Trump takes office might further complicate resolution of the case.
Washington (Bloomberg): As part of its civil and criminal draft settlement with the U.S. regulators, VW will plead guilty to misleading consumers and regulators. It will pay a $4.3 billion fine.
While this marks a clear sign that the firm is moving toward resolving corporate legal entanglements stemming from VW’s diesel emissions cheating, court documents related to the indictment of emissions compliance officer Oliver Schmidt indicate a wider conspiracy or cover-up that involves more than a few rouge engineers.
Besides Schmidt, five more executives face charges of conspiracy to commit fraud and violation of the Clean Air Act: Heinz-Jacob Heusser, Jens Hadler, Richard Dorenkamp, Bernd Gottweis and Jurgen Peter. All were involved in VW’s engine development or quality assurance.
Schmidt was nabbed at the Miami International Airport when returning to Germany from a vacation in the U.S., Saturday. Other German executives indicted are difficult to extradite if they remain in Europe.
VW’s dirty diesels will cost the world’s top-selling automaker for 2016 more than $23 billion dollars in the U.S. and Canada. Unlike GM and Toyota, firms that previously were found guilty of misleading consumers and regulators, VW’s situation differs in that it admits guilt and will pay substantially larger penalties.
It’s believed that VW was determined to reach an agreement with the EPA regarding its misconduct because changes in EPA governance after Donald Trump takes office might further complicate resolution of the case.