Ex-Volkswagen CEO faces trial over 'dieselgate'

Ex-Volkswagen CEO faces trial over 'dieselgate'

Nine years after the 'dieselgate' scandal engulfed Volkswagen, former CEO Martin Winterkorn will finally go on trial for his role in what prosecutors consider a fraud conspiracy
Nine years after the 'dieselgate' scandal engulfed Volkswagen, former CEO Martin Winterkorn will finally go on trial for his role in what prosecutors consider a fraud conspiracy. Photo: Ronny Hartmann / AFP/File
Source: AFP

Former Volkswagen CEO Martin Winterkorn is set to go on trial Tuesday for his role in the "dieselgate" scandal, nine years after the saga first plunged the German auto titan into crisis.

VW admitted in 2015 that it had installed software to rig emissions levels in millions of vehicles worldwide, setting off one of Germany's biggest post-war industrial scandals.

Winterkorn faces charges including fraud over the use of the so-called defeat devices, which made cars appear less polluting in lab tests than they were on the road, and could be jailed for 10 years if convicted.

He resigned as head of the VW group -- whose brands range from Porsche and Audi to Skoda and Seat -- shortly after the crisis began but attempts to bring him to trial had so far failed.

Now 77, he was supposed to stand trial in 2021 alongside four other VW executives but proceedings against him were split off and postponed due to his poor health.

Read also

Volkswagen mulls plant closures and job cuts in Germany

However a regional court in the city of Braunschweig, close to VW's historic headquarters in Wolfsburg, announced earlier this year that proceedings against him would finally get underway this month.

Since then there have been renewed concerns about his health, with reports saying he had to undergo an operation in mid-June, and there are now fresh questions about whether he will be able to endure the long-running trial.

Buyers were 'deceived'

Winterkorn faces several charges.

He has been accused of conspiracy to commit fraud, with the allegation based on the claim that buyers of some of the group's vehicles were "deceived about their characteristics" due to the use of defeat devices, according to the court.

Volkswagen marketed its technology as 'Clean Diesel' but special devices made them appear cleaner during testing than during road use
Volkswagen marketed its technology as 'Clean Diesel' but special devices made them appear cleaner during testing than during road use. Photo: SAUL LOEB / AFP/File
Source: AFP

The alleged fraud relates to about nine million vehicles sold in Europe and United States, with the buyers facing financial losses running into hundreds of millions of euros, it said.

Read also

Brazil block on X comes into effect after judge's order

However Winterkorn has not been accused of involvement in the offence for its entire period, which was from 2006 to 2015. He was VW chief executive from 2007 until 2015.

He has also been accused of giving false testimony to a German parliamentary committee in 2017 when it was investigating the scandal.

He said that he knew of the existence of the defeat devices only in September 2015 but prosecutors claim it was earlier.

Winterkorn further faces a charge of market manipulation.

He is alleged to have "deliberately failed to inform the capital market in good time" after finding out about the emissions-rigging software, in violation of German stock market regulations.

Some 89 hearings have been scheduled through September 2025.

Winterkorn had already agreed a settlement with Volkswagen in 2021, under which he would pay the company 11 million euros ($12 million) in relation to the controversy.

Ahead of the trial, Volkswagen noted it was not party to the proceedings although it said that it would be monitoring them.

Read also

The man with four passports: Durov's international network

US consumer advocates have been among the most successful in getting compensation for VW owners
US consumer advocates have been among the most successful in getting compensation for VW owners. Photo: Mandel NGAN / AFP/File
Source: AFP

The highest-ranking former executive to have been convicted so far in the scandal is ex-Audi CEO Rupert Stadler.

In June last year, he received a suspended sentence and a fine as part of a deal in exchange for admitting to fraud by negligence.

The fraud has already cost VW around 30 billion euros in fines, legal costs and compensation to car owners, mainly in the United States.

Source: AFP

Authors:
AFP avatar

AFP AFP text, photo, graphic, audio or video material shall not be published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP news material may not be stored in whole or in part in a computer or otherwise except for personal and non-commercial use. AFP will not be held liable for any delays, inaccuracies, errors or omissions in any AFP news material or in transmission or delivery of all or any part thereof or for any damages whatsoever. As a newswire service, AFP does not obtain releases from subjects, individuals, groups or entities contained in its photographs, videos, graphics or quoted in its texts. Further, no clearance is obtained from the owners of any trademarks or copyrighted materials whose marks and materials are included in AFP material. Therefore you will be solely responsible for obtaining any and all necessary releases from whatever individuals and/or entities necessary for any uses of AFP material.