Australian consumer commission sues Volkswagen

volkswagen logo wm

Just a few months after the US Federal Trade Commission (FTC) decided to take legal action against Volkswagen for falsified emissions data on their vehicles, the Australian Competition and Consumer Commission (ACCC) is now suing the carmaker on similar grounds as well.

In an official statement posted on the commission’s website, it alleged that Volkswagen had not disclosed the existence of “defeat” software on its vehicles, which did not provide accurate nitrogen oxide emissions data.

Naturally, the commission continued that Volkswagen had engaged in misleading conduct that its vehicles complied with Australian and European regulations. Finally, it alleged that Volkswagen’s advertising of its vehicles’ environmentally friendly premise was not reflective of the truth.

“The ACCC alleges that Volkswagen engaged in multiple breaches of the Australian Consumer Law by concealing software in their vehicles to cheat emissions testing and misleading consumers about the vehicle’s compliance with standards and emission levels during on-road conditions,” said ACCC chairman Rod Sims.

Volkswagen Jetta facelift 1

As remedy, the commission wants Volkswagen to publicly declare its wrongdoing, perform corrective advertising explaining what it did wrong, and pay an unspecified financial penalty. It has also provided a list of the 57,000 vehicles covered in the proceedings, which were manufactured between 2008 to 2015.

In a response to the suit, Volkswagen said it doubted the ACCC’s action would be fruitful to customers, as it has already planned to recall and correct affected cars in the country, once the new software was approved by the government, Automotive News reports.

Volkswagen is also facing a separate suite by law firm Maurice Blackburn, which is seeking more than AUD$100 million (RM309,006,963) from the carmaker, including the full replacement cost of around 90,000 vehicles in the country.

Outside Australia, Volkswagen also faced the wrath of South Korean regulators, where the sale of 80 model variants were suspended in the country. The company was also fined with a massive fine for rigging emissions test data for its vehicles.

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Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard’s strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • 1MDB (Malas Dolop Bodoh) on Sep 05, 2016 at 9:58 am

    Malaysia consumer also must sue cause Malaysia it is worse. We suffer from DSG even until today. VGM give goring about mineral oil….all tipu. Even last week at SC, so many people coming in with DSG kaput despite using mineral.

    Malaysians must sue VGM. Cause non stop visiting service centre and RV now gone so bad. 1 year old Passat sell RM70k also used car dealer don’t want to touch

    Like or Dislike: Thumb up 4 Thumb down 0
  • 1MDB (Malas Dolop Bodoh) on Sep 05, 2016 at 10:00 am

    Better for VGM to compensate every VW owner in Malaysia or buy back their cars at full price. VGM knew about this DSG thing 8 years ago and they kept on selling faulty lemons to Malaysians.

    They know they are part of DRB, they think they are powerful GLC and can get away with anything.

    Like or Dislike: Thumb up 2 Thumb down 0
  • johan on Sep 05, 2016 at 10:07 am

    dh lama X nampak JPJ check asap lori & Metrobus^^

    Like or Dislike: Thumb up 2 Thumb down 0
  • Albert Peria on Sep 05, 2016 at 10:07 am

    VW is like john, everyday he will lie and lie and lie and lie.

    BN Cybertrooper with no principles.

    Like or Dislike: Thumb up 2 Thumb down 0
    • nomoney on Sep 06, 2016 at 1:22 pm

      How about you and your dupes, you always tell truth ar?
      Ptuih

      Like or Dislike: Thumb up 1 Thumb down 0
  • 1MDB (Malas Dolop Bodoh) on Sep 05, 2016 at 10:09 am

    Malaysians should also sue Proton for Proton has lost so many lives. Proton gave us airbags just about 12 years ago. Before that, all their cars had no airbags but global cars had airbags now 20 years already

    Like or Dislike: Thumb up 1 Thumb down 2
    • camtakpro on Sep 06, 2016 at 8:48 am

      Not only Proton. Should also sue UMWT and Perodua also since Proton Iriz and Persona has VSC across all range, while UMWT and Perodua only top spec have VSC.

      Like or Dislike: Thumb up 2 Thumb down 0
    • Lee Kum Kee on Sep 06, 2016 at 11:38 am

      1MDB (1 whole Malaysians Di Bodohkan). Ok then lets sue the govt for never implementing safety guideline for manufacturers to setup car company and sell in MY. Please remember the use of seatbelt for rear passengers has only been made compulsory by the JPJ in 2009, before that NOTHING. We are so behind.

      Like or Dislike: Thumb up 0 Thumb down 0
  • The only thing Australia good at…..that is to follow the American…

    Like or Dislike: Thumb up 2 Thumb down 0
  • The image of VW cars now is so bad now. Pity for the owner, after that massive sale discount,diesel gate scandal, and DSG gearbox problem, RV value drop so much. Now no more prestige but a bad status car company that keeps people at distant even the second-hand value so tempting to own one ;).

    Like or Dislike: Thumb up 0 Thumb down 1
  • torque on Sep 05, 2016 at 11:28 am

    Lucky here the government body doesn’t take legal action else once they sue for millions of dollars…the money might end up missing or never reach to VW consumers usage.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Lee Kum Kee on Sep 05, 2016 at 11:34 am

    And yet our government department and agencies: MITI, DOE, MOT, JPJ, JKJR and SPAD (wow wonder why so many) does nothing to slap VGM in the face.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Jimmy on Sep 05, 2016 at 1:00 pm

    Wau, now everybody can take the opportunity to claim a new car (compensation); free usage between 2 to 8 years, smart.
    Mat Salleh’s justice?

    Like or Dislike: Thumb up 0 Thumb down 1
  • Poor Malaysian on Sep 05, 2016 at 11:41 pm

    VW can’t buy back and refund in full price even they wanted to… Coz more than 35% of the price was charged for excise duties… Which have disappeared long long ago….

    Like or Dislike: Thumb up 0 Thumb down 1
 

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