dieselgate drags on for vw and bosch with new payouts
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

To put the American chapter of the tale behind them

'Dieselgate' drags on for VW and Bosch with new payouts

Arab Today, arab today

Arab Today, arab today 'Dieselgate' drags on for VW and Bosch with new payouts

German carmaker Volkswagen
Frankfurt am Main - AFP

German carmaker Volkswagen and auto parts supplier Bosch on Wednesday announced payouts to US buyers of vehicles affected by the "dieselgate" scandal, in a bid to put the American chapter of the tale behind them.

Volkswagen admitted in September 2015 to building so-called "defeat devices" designed to hoodwink regulatory emissions tests into around 11 million cars worldwide, including 600,000 in the US, and has been clocking up fines and compensation payments ever since.

VW said in a statement it will pay $1.2 billion (1.1 billion euros) to compensate around 78,000 US buyers of 3.0-litre diesel cars as well as buying back or refitting their vehicles.

Owners of 3.0-litre VW, Audi, and Porsche diesel models dating from 2009-16 are the last group of customers to be compensated by VW over dieselgate.

The amount brings the total in fines and compensation the Wolfsburg-based group has agreed in the US to more than $23 billion.

Meanwhile, Bosch said in its own statement that it will settle "the most substantial part of criminal law proceedings pending" in relation to the emissions cheating scandal with a $327.5 million payout to car owners and dealers.

Stuttgart-based Bosch is the world's largest car parts supplier and a household appliance giant, reporting 2016 revenues of 73.1 billion euros last week.

The family-owned group is accused of helping Volkswagen conceal the existence of the software, elements of which Bosch itself supplied.

Bosch's deal will see it compensate buyers of 2.0-litre diesel cars from Volkswagen and subsidiary Audi between 2009 and 2015, as well as 3.0-litre VW, Audi, and Porsche diesels bought between 2009 and 2016.

But the company said it "neither acknowledges the facts as alleged by the plaintiffs nor does Bosch accept any liability."

Bosch has "neither admitted anything nor covered anything up," a spokesman told AFP.

By contrast, VW admitted earlier in January to conspiring to deceive its customers and US authorities and to obstructing justice by destroying documents, adding $4.3 billion in fines to the dieselgate tally.

- Moving on? -

Both Bosch and VW are keen to leave the diesel scandal behind them, with the carmaker especially keen to restore its image after sales plummeted in the Americas last year.

VW plans to slim down, shedding some 30,000 jobs by 2020, as well as making a turn towards new technologies including self-driving cars and introducing a slew of electric models.

As a major supplier to the entire German car industry, Bosch too wants "to devote our attention and our resources to the transition in mobility and in other areas of activity," chief executive Volkmar Denner said in its statement.

Presenting provisional results for 2016 last week, the family-owned firm said it was investing billions in electric cars and connected objects.

But with the proposed agreement affecting only civil law claims, Bosch added that it "will continue to defend its interests in all other civil and criminal law proceedings and to cooperate comprehensively with the investigating authorities in Germany and other countries."

Meanwhile, it remains under investigation in both Germany and the United States and is running its own internal investigation "prioritising thoroughness over speed," the spokesman said.

Neither does VW's deal bring it out of the woods.

The auto giant has always maintained that its top executives first found out about dieselgate in September 2015.

But German prosecutors on Friday opened an investigation into former CEO Martin Winterkorn on suspicion of fraud, saying he may have known earlier than he has so far admitted about the cheating.

If it is proved that Winterkorn knew about the cheating earlier and colluded in covering it up, VW's legal bills could skyrocket.

The firm faces claims from investors in Germany saying it withheld relevant information from them, causing them to lose out as the shares plunged when the emissions cheating was revealed.

Along with Winterkorn, investigators are looking into former finance director Hans Dieter Poetsch -- now supervisory board chairman -- and VW brand chief Herbert Diess on suspicion of holding back information from shareholders.

In a sign that dieselgate continues to make waves at the carmaker, compliance chief Christine Hohmann-Dennhardt, a former judge, stepped down last week -- just a year after she was brought to help clean up VW's image.

Volkswagen shares were up 1.49 percent at 146.05 euros at 1240 GMT Wednesday, slightly outperforming the Dax index of leading German shares.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

dieselgate drags on for vw and bosch with new payouts dieselgate drags on for vw and bosch with new payouts

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

dieselgate drags on for vw and bosch with new payouts dieselgate drags on for vw and bosch with new payouts

 



GMT 04:22 2017 Tuesday ,26 December

Israel in touch with '10 countries' over embassy moves

GMT 19:43 2017 Friday ,06 October

Employee safety top priority at Khalifa Port

GMT 16:19 2017 Friday ,28 April

ISIS Suspect Arrested in Western Germany

GMT 12:57 2017 Monday ,11 December

50 Students Poisoned by Contaminated Well Water

GMT 16:31 2017 Thursday ,10 August

Palestinians will discuss decline of aids

GMT 21:15 2017 Saturday ,04 March

Obama never ordered surveillance on any US citizen

GMT 10:00 2017 Thursday ,09 March

Russia ‘can be good friends with GCC’

GMT 02:13 2017 Wednesday ,22 February

Russian helicopter crash kills 19 in Siberia

GMT 13:23 2017 Tuesday ,05 December

Lebanon PM Hariri rescinds resignation

GMT 00:39 2017 Tuesday ,05 December

Gunmen kill cleric in Aden, southern Yemen

GMT 11:43 2016 Thursday ,24 November

Will learn from Euro exit

GMT 06:56 2017 Tuesday ,17 October

US ‘not taking sides’ between Iraqi forces, Kurds

GMT 19:59 2017 Thursday ,16 February

Syrian opposition's chief negotiator arrives in Astana

GMT 15:41 2017 Thursday ,29 June

US sets new visa rules for 6 mainly Muslim nations

GMT 19:31 2017 Saturday ,11 February

Earthquake Hits Taiwan

GMT 15:30 2017 Monday ,27 November

Syrian government will not join peace talks on Monday

GMT 16:20 2017 Tuesday ,31 October

La Rochelle survive red card to down Toulouse

GMT 20:33 2018 Tuesday ,16 January

Bahraini official receives UAE Ambassador

GMT 22:40 2018 Monday ,08 January

Bahrain to host first Baby Games
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday