BETTER PARTSVW pays another billion for the cheating in the United States
Wolfsburg/San Francisco, 21st December 2016
The rocky road to clean up the diesel scandal, VW has vacated a chunk aside: the group able to agree with the U.S. Department of Justice on the approach with many American V6 diesel models.
Affected 83,000 vehicles with V6 TDI
The compromise involves approximately 83,000 vehicles with 3.0 TDI according to VW that are about 75 percent of the affected cars of the brands of Volkswagen, Audi and Porsche. About 63,000 of them should be technically upgraded, so that they fall below the emission limits, they considered up allegedly from the outset. The owners of the remaining 20,000 cars of older model years (2009 to 2012) can choose between returning to VW and a conversion. The agreement must be confirmed by the competent judge Charles R. Breyer. A further requirement is that VW and the two environmental agencies, EPA and CARB agree on an acceptable method of conversion.
Compensation for environmental damage
In addition, VW will pay 225 million dollars to a Fund for the reparation of environmental damage, as well as $25 million to the California Environmental Protection Agency CARB to promote zero-emission vehicles. According to analysts, the cost for VW for the reparation, the conversion measures and buying back of the cars on a total of about one billion dollars be.
Costs in the United States are clear
End of October 2016, VW had agreed with the authorities on a procedure for the four-cylinder diesel engines. It was to 475,000 vehicles of the Volkswagen and Audi marks. VW pays for about 14 billion euros including the compensation for environmental damage. Along with the agreement on the V6 TDI models, the cost for VW are now clear. Compensation of shareholders for any delayed publication of deception measures by VW, however, remains unresolved.
Penalties in Europe?
In Europe, the group must also reckon with penalty payments. The Commission has to do this recently initiated an infringement procedure against Germany, that could lead to a trial before the Court of Justice. The accusation: VW had been punished contrary to German law not for the manipulations and the Federal Government have provided to all the information the Brussels authorities. While VW for the United States has admitted illegal cut-out measures, the Group denies that the same measures in Europe use was illegal. The relevant EU regulation allows switching off the exhaust gas cleaning to prevent engine damage or impairment of the security. (sl)