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Fiat Chrysler US says its cars do not use any defeat devices

09/22/2015

MILAN (Reuters) - The U.S. unit of Fiat Chrysler Automobiles said on Tuesday its vehicles do not use any defeat devices like those at the center of an emissions scandal plaguing rival Volkswagen.

Shares in Volkswagen, Europe's biggest carmaker, plunged on Monday and Tuesday after it admitted using software that deceived U.S. regulators measuring toxic emissions in some of its diesel cars.

"FCA U.S. does not use 'defeat devices'," Fiat Chrysler said in an emailed statement, adding that it was working closely with the U.S. Environmental Protection Agency and California Air Resources Board to "ensure its vehicles are compliant with all applicable emissions requirements".


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EPA Expanding VW Investigation to Include 3.0L V6 Engine



09/22/2015

The Environmental Protection Agency (EPA) is expanding its VW diesel investigation to include the automaker’s 3.0-liter V6 diesel engine.

The engine is used in various Audi models and the Porsche Cayenne, which means the Volkswagen Group could be facing an even larger fine than the maximum $18 billion currently expected. The models that are affected by the VW diesel scandal currently include the 2009-2015 Audi A3, 2009-2015 Volkswagen Jetta and Jetta SportWagen, 2009-2015 Volkswagen Beetle and Beetle Convertible, 2009-2015 Volkswagen Golf, 2014-2015 Volkswagen Passat and the 2015 Volkswagen Golf SportWagen.

In the Porsche Cayenne diesel, the 3.0-liter V6 engine makes 240 horsepower and is rated at 20 mpg in the city and 29 mpg on the highway. The updated engine was revealed last year and in Audi models has either 218 hp or 272 hp with a maximum torque output of 442.5 pound-feet.

“The new 3.0 TDI substantiates our claim as the leader in diesel technology,” said Prof. Dr. Ulrich Hackenberg, Member of the Board of Management of Audi AG, technical development when the engine was revealed. “We have led the competition ever since the first TDI engine 25 years ago, and are constantly extending this lead with new ideas.”


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VW CEO Resigns in Wake of Diesel Emissions Scandal



09/22/2015


Volkswagen CEO Dr. Martin Winterkorn has officially resigned in the wake of a scandal over falsified diesel emissions.

“I am shocked by the events of the past few days. Above all, I am stunned that misconduct on such a scale was possible in the Volkswagen Group,” Winterkorn said in a statement issued announcing his resignation. “As CEO I accept responsibility for the irregularities that have been found in diesel engines and have therefore requested the Supervisory Board to agree on terminating my function as CEO of the Volkswagen Group,” said Winterkorn.

A meeting was set for this coming Friday to discuss the CEO’s contract moving into the future, but the Executive Committee of Volkswagen AG’s Supervisory Board called an emergency meeting today, where the decision was made. “The Executive Committee has great respect for Chairman Professor Dr. Winterkorn’s offer to resign his position and to ask that his employment agreement be terminated,” reads a statement from the committee.

A successor will be named this coming Friday at the Supervisory Board meeting, with rumors pointing to current head of Porsche, Matthias Müller.

Although Winterkorn says that he accepts responsibility for the issue as the CEO, he claims to have had no knowledge of the mass deception. “I am doing this in the interests of the company even though I am not aware of any wrong doing on my part,” he said. The Supervisory Board also cleared Winterkorn’s name, as the board “notes that Professor Dr. Winterkorn had no knowledge of the manipulation of emissions data.”

The scandal began when the Environmental Protection Agency (EPA) issued a report claiming that VW had installed defeat devices in 2.0-liter four-cylinder diesel engines which allowed them to run much cleaner during emissions testing, while in everyday driving they were emitting 10 to 40 times more NOx than allowed. Since then, Volkswagen admitted to using the cheating software in roughly 11 million vehicles worldwide.

The Executive Committee also revealed that this likely won’t be the only personnel change in the near future. “Internal Group investigations are continuing at a high tempo. All participants in these proceedings that has resulted in unmeasurable harm for Volkswagen, will be subject to the full consequences.”

A new special board will be created by Volkswagen to fix this issue, including preparing the necessary consequences for those responsible. More details on who will run this new board will be revealed at the meeting Friday.

Winterkorn, 68, took the reigns at VW in 2007 and led the company through a turnaround that saw VW go from cutting thousands of German jobs to being one of the largest, most powerful automakers in the world. “The company’s rise to global company is inextricably linked to his name,” reads the statement from the Executive Committee. “The Executive Committee thanks Dr. Winterkorn for towering contributions in the past decades and for his willingness to take responsibility in this criticall phase for the company.”
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VW Diesels Were Used by Chrysler

Sep 25 2015

VW Diesels Were Used by Chrysler, Mitsubishi, But Was the Software?



German authorities said Friday that 2.8 million Volkswagen diesel vehicles sold in that country "are affected" by the maker's rigging of emissions tests. But that may not be the end of it.

The suspect diesel engine used by Volkswagen also was sold to other manufacturers, including Chrysler and Mitsubishi, for use in some of their European models, sources tell TheDetroitBureau.com.


It's not clear if the Volkswagen diesels sold to other manufacturerscame with the secret software that enabled the VW vehicles to pass emissions tests with flying colors, then switch off the emission controls for increased performance and better mileage. The latter mode also produced up to 40 times the permissible level of noxious emissions.

German Transport Minister Alexander Dobrindt revealed new details Friday about Volkwagen's rigging of emissions tests there.

"It's now clear that (VW) vehicles in Germany are affected by these manipulations. Based on our current knowledge they are vehicles with 2.0 litre and 1.6 litre diesel engines," he told the German parliament.

The EA 189 engine was used in a variety of models through both the Volkswagen and Audi brands in the U.S. But the 2.0-liter package, as well as a 1.6-liter variant, also went into models sold by other Volkswagen AG brands, such as the Seat Leon and Toledo models.

TheDetroitBureau.com has learned that VW supplied the engines to at least two other manufacturers, Chrysler and Mitsubishi, which used them for models sold in the diesel-centric European market.

Chrysler went to Volkswagen because, prior to its 2009 tie-up with Italy's Fiat, it didn't have a small diesel of its own.

The engines supplied by Volkswagen were apparently used in the European versions of such models as the Chrysler Sebring and Jeep Compass, as well as the Dodge Avenger introduced at the 2006 Paris Motor Show.

It is unclear if what was then known as Chrysler Corp. also used Volkswagen-supplied engine control systems and, if so, whether they contained the rigged software.

Asked for details, a Chrysler spokesman declined comment. An insider reached by TheDetroitBureau.com added that as so many engineers and executives have left the company since its 2009 bankruptcy it could be difficult to track those with any knowledge of the diesel program to answer that question.

Fiat Chrysler now has a number of its own diesel engines, including a larger six-cylinder version that it offers in the U.S. in the popular EcoDiesel variant of its big Ram pickup.

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Bosch Warned Volkswagen

Bosch Warned Volkswagen About Illegal Software Back in 2007

09/29/2015



Bosch reportedly warned Volkswagen on its illegal software use in 2007 but the German automaker ignored the warnings.

The engine management software is the center of the controversial discovery that Volkswagen cheated on diesel emissions tests and in addition to Robert Bosch warning Volkswagen in 2007, one of the German automaker’s own engineers warned the company in 2011 about illegal emissions testing practices. According to German newspaper Bild am Sonntag, Bosch supplied diesel software to Volkswagen for testing purposes but it eventually ended up on road-going, production vehicles.

The publication also noted that the scandal began in 2005 when then-Volkswagen brand chief Wolfgang Bernhard wanted to develop a new diesel enginef or the U.S. market. It appeared that the only way to produce an engine that would meet U.S. emission standards was to use an AdBlue urea solution that would have cost around $335 per vehicle, a sum that finance officials at Volkswagen said was too high.

After Bernhard left Volkswagen in 2007, Martin Winterkorn became VW Group and brand CEO and tasked Audi development boss Ulrich Hackenberg to continue development on the engine. It appears that the engine eventually used software manipulated to fool diesel emissions tests in the U.S.


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Volkswagen to Roll Out Diesel Car Fix Soon

Volkswagen to Roll Out Diesel Car Fix Soon

09/29/2015




Volkswagen said it will announce a recall for the 11 million vehicles affected by the diesel emissions scandal in the next few days.

The company’s new CEO, Matthias Mueller, says that VW has a “comprehensive” plan to refit the 11 million vehicles that have illegal software installed that helps them to fool emissions tests. VW will announce the specifics on the plan in “the next few days,” according to Mueller.

All vehicles fit with the group’s Euro 5 EA 189 diesel engines are affected. In the U.S., this includes the 2009 to 2015 TDI Volkswagen Golf, Jetta, Passat and Beetle along with the 2009-2015 Audi A3.

The affected vehicles are fit with defeat devices that automatically cut down on emissions when the vehicle is being tested. During regular use, these TDI engines emit 10 to 40 times the amount of allowable NOx.

Of all the affected cars, 5 million wear a Volkswagen badge, 2.1 million are Audis, 1.2 million vehicles come from Skoda and the remaining 1.8 million are light commercial vehicles.

“We are facing a long trudge and a lot of hard work,” said Mueller. “We will only be able to make progress in steps and there will be setbacks.”



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Chevy Colorado Diesel Under the EPA’s Microscope

Chevy Colorado Diesel Under the EPA’s Microscope

09/29/2015



General Motor’s new diesel-powered small pickups will be scrutinized by the Environmental Protection Agency (EPA) before they are released for sale as a result of the Volkswagen diesel emissions scandal.

“The EPA and CARB told us they are going to do on-road testing,” Scott Yackley, Chevrolet Trucks assistant chief engineer, told Automotive News. The trucks will not be certified for sale until they are tested on road by the EPA to make sure that the new 2.8-liter diesel engine passes emissions tests during normal everyday use.

This could result in the trucks hitting the market slightly later than the fourth quarter of this year, the planned on-sale period.

This is the first example of more stringent testing measures being introduced by the EPA. The agency says that it will begin testing cars on road, rather than just in a lab. They will also test cars from personal owners and from rental car fleets, so that they aren’t specially prepared by the automaker.

Volkswagen admitted to installing defeat devices in 11 million diesel vehicles which were able to detect emissions testing, and automatically make the engine omit less pollution for the duration of the test. During everyday driving, those cars were polluting 10 to 40 times more than the EPA allows.

Yackley says the GM is confident that the trucks will pass the test. “Part of our development process is on-road and off-road [laboratory] testing,” he said.


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Green Car Journal Stripping VW, Audi

Green Car Journal Stripping VW, Audi Diesels of Previous Awards



09/30/2015

Green Car Journal is rescinding awards previously given to Volkswagen and Audi diesel models for Green Car of the Year in wake of the “dieselgate” scandal.

The 2009 Volkswagen Jetta TDI and 2010 Audi A3 TDI will be stripped of their Green Car of the Year titles after the cars were deemed “ineligible” by the publication. This is the first time in the publication’s history that it had to take back an award.

The cars in question are part of the scandal being known as dieselgate, in which Volkswagen deliberately installed illegal software on its 2.0-liter four-cylinder diesel engines to make it easier for them to pass emissions testing.

“Rescinding the Green Car of the Year awards for the VW Jetta TDI and Audi A3 TDI is unfortunate but appropriate,” said Ron Cogan, editor and publisher of the Green Car Journal. When asked if he felt cheated by the scandal, Cogan answered, “You ask whether I feel personally cheated. The better question for me, I think, is whether I feel all of us have been cheated. The answer is clearly ‘yes.’ ”

“Audi has won hundreds of races and thousands of awards throughout its history. But we only want to win fair and square,” said Audi of America President Scott Keogh. “Therefore, in light of recent developments, we believe the only right thing to do is to return this important recognition of environmental stewardship. We are determined to compete – and hopefully win – Green Car of the Year awards the proper way in future years.”

Despite all of this, Green Car Journal still stands behind diesel technology as a whole, saying that “this award rescission should not cast a negative light on advanced diesel technology in general.”


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Audi, Volkswagen Excluded from Ward’s Best Engines Awards

Audi, Volkswagen Excluded from Ward’s Best Engines Awards

Oct 05, 2015



Volkswagen and Audi engines have been suspended from participating in Ward’s annual 10 Best Engines competition until further notice, regardless of whether or not they are the engines affected by the “dieselgate” scandal.

VW group engines, especially its diesels, have often been popular at the awards, and under normal circumstances, its 1.8L turbocharged gasoline four-cylinder would be in the running again this year because it was a winner last year, and winners always get re-entered in the following year’s evaluations. For the 2016 awards, Audi would have submitted its 2.0L turbo four-cylinder gas engine in the new A6 and the A3 e-Tron plug-in hybrid for evaluations.

“Caught red-handed in a diabolical scheme to write software smart enough to scrub diesel emissions only when regulatory tests were being run on 11 million vehicles dating back several years, the Volkswagen Group has stooped to a new low in the quest for emissions compliance, a competitive edge and consumer appeal,” said Tom Murphy, executive editor of WardsAuto World magazine, in a press release. “It seems only fair to exclude VW and Audi from participating in Ward’s 10 Best Engines until we are convinced the culture of deceit has been purged, fines have been paid and regulators are satisfied.

“And at the same time, like many other industry observers and VW owners, I’m feeling bamboozled,” Murphy added.


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Fiat Chrysler ( in Italy) Offers $1,700 Cash for Volkswagen Clunkers

Fiat Chrysler ( in Italy) Offers $1,700 Cash for Volkswagen Clunkers

10/05/2015


Fiat Chrysler Automobiles NV is seeking to lure customers away from Volkswagen AG with a twist on government cash-for-clunkers programs amid the German competitor’s woes over cheating on emissions tests.

Fiat Chrysler is offering rebates of as much as 1,500 euros ($1,700) in Italy on top of other incentives on the trade-in of a car from any of Volkswagen’s brands, according to an internal memo published in Il Giornale daily that was confirmed by dealers. A spokesman for the Italian-U.S. manufacturer in Turin declined to comment.

While brand-swap discounts aren’t unusual, offers that specifically target one company are rare. Fiat’s pitch comes as Volkswagen reels from the biggest crisis in its history, and continues an antagonistic relationship between the two carmakers. Fiat Chrysler Chief Executive Officer Sergio Marchionne accused VW in 2012 of creating a “bloodbath” in Europe with its pricing strategy as manufacturers struggled with a market slump. VW responded by threatening to leave the ACEA, the industry’s main lobby in the region, which was headed by Marchionne at the time.

The ACEA, of which VW is still a member, is now part of the growing isolation of Europe’s biggest carmaker, which admitted Sept. 18 to installing a “defeat device” in diesel-powered cars designed to fool emissions testers about performance. The association said Sept. 23 that there was “no evidence” other manufacturers are deliberately duping regulators. Volkswagen’s stock has continued to decline since the revelation, while European competitors’ shares have started to recover.


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The VW Diesel Scandal Is Now a DIY Halloween Costume



The VW Diesel Scandal Is Now a DIY Halloween Costume

Celebrate Halloween in style this year with a timely costume by embracing the Volkswagen diesel scandal.

The folks over at HalloweenCostumes.com has put together a do-it-yourself guide to put together your very own Volkswagen diesel scandal costume in case there’s nothing else you want to be this Halloween. You’ll need to grab yourself a deluxe smoke mask, a video game car costume, adult black combat boots, spider web decor, fake money, toilet paper tube, box, can, gas can and black spray paint. The most difficult part to this DIY costume is building the emissions smoke cloud and the exhaust pipe, but that’s where the spider web comes in.

By bundling the spider web, you’ll be able to make it nice and fluffy and a bit of fishing line can even be used to help tie it all together. Spray down the spider web with the black spray paint and clog it into your toilet paper tube before fitting it onto your car costume.

It’s unlikely you’ll see any kids sporting the costume this year, but if you did, it’s very likely their parents aren’t too happy about the Volkswagen diesel scandal.


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Volkswagen Withdraws EPA Application for 2016 Diesel Models

Volkswagen Withdraws EPA Application for 2016 Diesel Models

Oct 07, 2015



Volkswagen has withdrawn its application for EPA certification on its 2016 model year diesel vehicles.

Without EPA certification those 2016 Volkswagen diesel vehicles cannot be sold in the U.S., meaning it could be quite some time before they’re able to leave dealership lots. The German automaker has been awaiting EPA approval for those models, but has withdrawn its request as part of its ongoing discussions with U.S. regulators as a result of the massive diesel emissions scandal.


The decision was disclosed today by Volkswagen of America CEO Michael Horn in a written testimony that he will deliver tomorrow at a hearing before the House Energy and Commerce committee. Part of his testimony will state that Volkswagen’s emissions control strategy included a “software feature” that should be “disclosed to and approved by” regulators as an “auxiliary emissions control device,” which are legal in the U.S. A Volkswagen of America spokeswoman confirmed to Automotive News that the software is different than the defeat device.

Horn also elaborated that each of the three generations of the affected 2.0-liter diesel engines will require a different fix. The German automaker’s technical teams are “working tirelessly,” according to Horn, to develop a pair for the affected models. Some of the cars will need software updates while others will need to be fully outfitted with a Urea injection system.


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How Come Other Automaker’s Diesels Can Meet US Emissions Standards?

How Come Other Automaker’s Diesels Can Meet US Emissions Standards?

10/12/2015



Volkswagen’s ongoing emissions scandal has devastated the German automaker. Its stock price has plummeted by about 30 percent and any goodwill it had with consumers has likely evaporated. But the collateral damage from this fiasco has also given diesels a black mark.

However, just because some of VW’s TDI powertrains violate the law does not mean other manufacturers’ diesel offerings spew out noxious clouds of poison gas. In fact, it appears as though every other automaker is compliant with U.S. emissions regulations.


Still, to ensure there are no additional situations like this one that continues to unfold, the Environmental Protection Agency (EPA) is taking steps to more strenuously evaluate vehicles equipped with compression-ignition engines. Specifically, they will look for so-called “defeat devices,” special lines of computer code that alter the way an engine performs while undergoing an emissions test. This is how VW was able to skirt the rules.
Tech to the Rescue

Volkswagen and Audi models affected by this scandal are powered by the company’s 2.0-liter four-cylinder TDI engine. According to VW’s press release for the 2014 Beetle, it features both high- and low-pressure EGR, an exhaust particulate filter and “no fewer than three catalytic converters: for oxidation, oxides of nitrogen (NOx), and hydrogen sulfide.”



To clean an engine’s exhaust, the NOx trap absorbs oxides of nitrogen. When it becomes saturated, the poweplant runs a slightly modified cycle that pumps a little extra fuel into the exhaust stream, which burns off the trapped NOx. In theory, this arrangement works with smaller engines in lighter cars, though that turned out to not be the case, at least with the engine-control software Volkswagen is using today.
SCR = Still Compliant (with) Regulations

SCR is an abbreviation for selective catalytic reduction. This is the emissions-control technology used by practically every other automaker selling clean diesels in the U.S. It functions in a different manner than the system VW adopted.

SCR requires a special urea solution, which adds cost, complexity and extra maintenance. However, the advantage to this technology is that it works. For instance, supplier company Bosch’s latest Denoxtronic 5 SCR system can reduce NOx emissions by a claimed 95 percent while improving fuel efficiency by up to 5 percent. It can help automakers meet LEV II, LEV III and Euro6 emissions standards.



This technology features an oxidation catalytic converter, a diesel particulate filter and a special SCR catalyst. As required, precise amounts of an aqueous urea solution are injected into the exhaust stream, which reacts with the SCR catalyst, dramatically reducing NOx by chemically converting it into nitrogen and water.

Other clean diesels sold in the U.S. features SCR systems. These products range from massive tractor trailers to smaller rigs like the Ram 2500 HD pickup truck. Other models including Mercedes-Benz’s GL350 BlueTEC, the Ford Transit commercial van and Chevrolet Cruze compact car all feature selective catalytic reduction emissions-control systems to keep their diesel engines clean.

And it’s worth noting that not every single Volkswagen or Audi TDI model violates pollution laws. Their larger products are not affected because they feature SCR.

Affected Models

Below is a list of diesel-powered Volkswagen vehicles that are not compliant with U.S. emissions regulations. According to an Audi spokesman, fewer than 14,500 of their cars are affected. Their other TDI vehicles are still available right now, including versions of the Q5, Q7, A6, A7 and A8, which all feature a 3.0-liter diesel V6.



Currently there is a stop sale on all Volkswagen cars equipped with the company’s 2.0-liter TDI no-so-clean diesel engine.

-VW Jetta TDI (Model Years 2009 – 2015)

-VW Jetta SportWagen TDI (Model Years 2009-2014)

-VW Golf TDI (Model Years 2010-2015)

-VW Golf SportWagen TDI (Model Year 2015)

-VW Beetle TDI and VW Beetle Convertible TDI (Model Years 2012 – 2015)

-VW Passat TDI (Model Years 2012-2015)

-Audi A3 TDI (model years 2010 – 2013, 2015)

The ongoing VW diesel-emissions scandal is probably the biggest automotive news story of 2015. It’s just shocking what the company did and their decision to cheat will have long-term consequences for them and the industry as a whole.

Right now, it’s unclear exactly what will happen next, but a formal recall of affected models is scheduled to begin in January. According to Volkswagen, all of these cars will fixed by the end of next year.


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Is Your Car Affected By The Volkswagen Diesel Scandal?

Is Your Car Affected By The Volkswagen Diesel Scandal? Check Your VIN

To find out whether your VW or Audi vehicle is affected, visit VW.com/content/vwcom/en/owners-recalls.html or web.audiusa.com/recall/, plug in your VIN, and the site should indicate whether or not your car is going to be recalled.
 

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VW’s Diesel Scandal:/Consolidation:

• VW’s diesel scandal:

10/28/2015


Marchionne said he still believes in diesel, despite the VW scandal. FCA has a broad array of diesel offerings, especially in Europe. “The origin of this problem was a governance failure; it is not a failure of technology. It was the potential malfeasance of an agent in the market,” Marchionne said. “I have not taken the view that diesel is dead. I don’t think it is.” He said VW will survive. “Failures like this could happen to anybody. I continue to believe VW will come out of this stronger, and ultimately will come back as a stronger competitor in the marketplace.”

• Consolidation:


Marchionne said that industry consolidation, which he championed this year, has not gone away, and may have become clearer to others in the wake of VW’s troubles. “I haven’t given up on the notion [of consolidation], but I can’t start speculating on what our next moves might be. It has to be discussed with our board,” Marchionne said. “I have had some industry contacts with other people who share this view. My preferences have fundamentally not changed. At the end of the day, this is something that is inevitable. The economic justification is right.”

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Audi Issues Stop-Sale on Diesel Vehicles

Audi Issues Stop-Sale on Diesel Vehicles

Nov 04, 2015




Audi is issuing a stop-sale on several products following an investigation regarding the 3.0-liter six-cylinder diesel engines used in Volkswagen Auto Group vehicles.

The decision is fuelled by the concern that these motors also use a “defeat device”, which is not compliant with emissions standards and is more damaging to the environment than advertised. Porsche also cancelled sales of its Cayenne diesel, while Audi’s stop-sale will affect new and CPO Audi vehicles.

The stop sale affects the 2016 Audi A6, Audi A7, Audi A8L, and Audi Q5 equipped with a 3.0 liter V6 TDI engine. The problem also concerns vehicles between 2013-2015. Audi has also removed TDI options from their website.

According to an advisory sent to US dealers, no recall is planned at this time.

“Volkswagen Group of America is working with regulators and will take all steps necessary to remedy any issues, including a potential emissions recall,” said the advisory. “This is an emissions matter and not a safety issue. Owners of these vehicles do not need to take any action at this time.”


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VW USA CEO Quits

VW USA CEO Quits as Latest Casualty of Dieselgate Scandal

Mar 09, 2016




Volkswagen Group of America has announced that its president and CEO, Michael Horn, will be leaving the company effective immediately.

It is the latest development in the company’s massive diesel scandal and according to the German automaker, it was a “mutual agreement” that Horn will be leaving to pursue other opportunities. Hinrich J. Woebcken, who was recently announced as the new Head of the North American Region and Chairman of Volkswagen Group of America will assume the role of president and CEO on an interim basis.


“I want personally to say ‘thank you’ to Michael Horn for the great work he has done for the brand and with the dealers in the United States,” said Herbert Diess, CEO of Volkswagen brand. “During his time in the U.S., Michael Horn built up a strong relationship with our national dealer body and showed exemplary leadership during difficult times for the brand,” he added.

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Volkswagen Sued for $3.7B

Volkswagen Sued for $3.7B in Germany Over Dieselgate Scandal

Mar 15, 2016




Volkswagen is being sued for $3.7 billion by investors worldwide.


The company is already dealing with lawsuits in the U.S. over its dieselgate scandal, and now 278 institutional investors from around the world are filing a lawsuit against Volkswagen AG in Germany. The suit claims that the German automaker failed to publish information about the emissions scandal in a timely manner and is now the biggest legal challenge it faces to date. In a statement, the court said that 70 cases are pending in Braunschweig, where the lawsuit was filed. Volkswagen has refused to take part in settlement negotiation and won’t waive a statute of limitations defense, so it has become necessary to file the lawsuit.

Over the year, the company’s shares have fallen 16 percent in Europe and continue to decline as a result of the diesel scandal. Among the plaintiffs in the case are investors from Australia, Austria, Canada, Denmark, France, Italy, Japan, Luxembourg, the Netherlands, Norway, Sweden, Switzerland, the U.K., the U.S. and Taiwan. The groups include 17 German investment management companies in addition to insurance companies and the California Public Employees’ Retirement System, one of the largest pension funds in the U.S.

An additional suit is being discussed with the attorneys handling this case, with another 20 institutional investors seeking over $1.1 billion in damages


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Volkswagen Has a New Deadline

Volkswagen Has a New Deadline for a Diesel Fix

Mar 25, 2016




Volkswagen and the EPA have until April 21 to reach a diesel emissions fix that will cover around 580,000 affected vehicles in the U.S.

U.S. District Judge Charles Breyer along with lawyers for the Justice Department and Volkswagen said at a court hearing in San Francisco that progress has been made during negotiations, but issues still remain and no settlement has been reached. There are several options for remedies still being discussed, including fixing all the affected vehicles, buy backs and other options.

If the parties involved are unable to reach a deal by April 21, the judge said he would consider holding a trial on the issue, addressing the vehicles that the EPA says can emit up to 40 times the legally allowed pollution in real world driving.

Buying back all the affected vehicles could prove expensive to Volkswagen, with Bloomberg intelligence analyst Brandon Barnes estimating a cost of $9.4 billion. Currently, Volkswagen, Audi and Porsche are unable to sell any new 2016 diesel models in the U.S.

“Volkswagen is committed to resolving the U.S. regulatory investigation into the diesel emissions matter as quickly as possible and to implementing a solution for affected vehicles, as we work to earn back the trust of our customers and dealers and the public,” Volkswagen said in a statement today. “We continue to make progress and are cooperating fully with the efforts undertaken by Judge Breyer, working through Director (Robert) Mueller, to bring about a prompt and fair resolution of the U.S. civil litigation.”


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Volkswagen is Being Sued by the FTC

Volkswagen is Being Sued by the FTC for its Bogus ‘Clean Diesel’ Ads



Mar 29, 2016



Volkswagen AG is being sued by the U.S. Federal Trade Commission (FTC) for falsely advertising its diesel engines as clean when they were actually spewing excess pollution into the atmosphere.

The suit was filed at the U.S. District Court in San Francisco, claiming that “billions of dollars” in injuries have been the result of this deception. USA Today Business reporter Nathan Bomey says the FTC is seeking more than $15 billion in total.


The FTC wants a court order telling Volkswagen to pay back customers who purchased affected diesel vehicles and an injunction that will stop this from happening again in the future.

VW ran advertisements for many years referring to its diesel vehicles as “clean diesels,” which turned out to be fit with a defeat device to trick emissions testers while the engine would emit pollution levels up to 40 times over the legal limits while driving on public roads.

This is now just another in a crush of lawsuits faced by Volkswagen, including the U.S. Justice Department suit which is seeking $46 billion for breaking environmental laws. Over 500 civil lawsuits have also been filed against VW.

A fix for over 600,000 diesel cars in the U.S. has still not been devised by VW, with a federal judge extending a deadline to April 21 for when VW has to have a plan to fix its polluting diesels.

A Volkswagen spokeswoman told Automotive News that VW is cooperating fully with the FTC and all U.S. regulators, though the company’s first priority “is to find a solution to the diesel emissions matter,” said Jeannine Ginivan.

“For years Volkswagen’s ads touted the company’s ‘Clean Diesel’ cars even though it now appears Volkswagen rigged the cars with devices designed to defeat emissions tests,” said FTC Chairwoman Edith Ramirez.


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