Former Volkswagen CEO agrees to make a settlement in connection with the emissions problem.


Former Volkswagen CEO agrees to make a settlement in connection with the emissions problem.

Martin Winterkorn, Volkswagen’s former CEO, has agreed to pay 11.2 million euros (13.6 million dollars) in compensation for the company’s failure to quickly investigate the scandal involving diesel engines that were engineered to cheat on emissions testing.

The German automaker also said that it will receive 270 million euros in liability insurance for losses caused by the activities of its directors and executives.

Based on an exhaustive examination by a legal firm commissioned by the company, Mr Winterkorn “breached his responsibilities of care” as CEO, the business said in a statement.

Volkswagen was caught by the US Environmental Protection Agency employing software that allowed the cars to pass emissions tests but turned off air pollution measures during normal driving.

Mr Winterkorn resigned a few days after the EPA issued a notice of violation on September 18, 2015. He has denied wrongdoing.

Volkswagen has apologized and paid fines, recall expenses, and compensation to car owners totaling more than 31 billion euros.

A research from West Virginia University’s Centre for Alternative Fuels, Engines, and Emissions alerted US environmental regulators to the emissions issue in May 2014.

Volkswagen, on the other hand, insisted that the elevated emissions were due to mechanical difficulties rather than unlawful software.

Mr Winterkorn failed “to completely and swiftly clarify the circumstance surrounding the implementation of illicit software functions” in 2.0-litre diesel engines supplied in the United States from 2009 to 2015, according to the study.

Mr Winterkorn also failed to guarantee that the corporation addressed questions from US regulators “truthfully, thoroughly, and promptly,” according to the business.

Other former VW executives have also reached agreements.

Rupert Stadler, the former director of Audi’s premium car division, would receive 4.1 million euros, former Audi executive Stefan Knirsch would receive one million euros, and former Porsche executive Wolfgang Hatz would receive 1.5 million euros under the agreements.

Porsche is a Volkswagen Group company.


Leave A Reply