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Volkswagen

Volkswagen is a German car manufacturer headquartered in Wolfsburg, Lower Saxony, Germany. Established in 1946, Volkswagen is the top-selling and namesake marque of the Volkswagen Group, the holding company created in 1975 for the growing company, and is now the second-largest automaker in the world.

Diesel emissions test scandal

The Volkswagen Diesel emissions test scandal is manipulation of diesel engine of Volkswagen cars to make them produce less toxic nitrogen oxide (NOX) in tests than on the road. The scandal is likely to have started in 2005 when the company launched a big promotion of diesel vehicles in the U.S. in 2005. Volkswagen deployed software to rig the tests as it was unable to meet tougher U.S. limits on NOX emissions within the required timeframe and budget. Even after a technical solution was available, it was not fully employed. In Europe, some 8 million vehicles were affected.

Volkswagen has set aside 6.7 billion euros to cover the cost of recalls. The company will begin recalling and fixing cars in Europe in January 2016 and aims to complete the work by end of 2016.

On 10 December 2015, Volkswagen has suspended nine managers suspected to be involved in the manipulation of diesel emissions tests. Volkswagen chairman Hans Dieter Poetsch said that they believe a small number of employees were directly involved in the manipulation.

Investigation

Around 450 experts were involved in internal and external investigations of the Volkswagen diesel emission scandal. The external investigation is being conducted by U.S. law firm Jones Day with support from Deloitte.

As of 10 December 2014, 87 interviews were conducted, 2000 employees were told not to destroy documents and emails and 1500 devices including smartphones and laptops were seized.


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