The long-running Dieselgate scandal that has blighted the Volkswagen Group is now expected to rack up an additional US$3 billion (RM12.7 billion) to a total of US$30 billion (RM127 billion), according to the German automaker. The additional sum is attributed to ‘negative special items’ which are expected to burden the operating result, due to the buyback and retrofit programmes for 2.0 litre TDI engines in North America.
The models involved for the US market included the Beetle, Golf, Jetta, Passat, and Audi A3, which use the 2.0 litre turbodiesel mills. Despite the fallout, US-market sales of diesel Volkswagens actually charted a 12% growth in April this year, which amounted to 10.3 million diesel vehicles sold in that time. Last week, former VW engine development chief Wolfgang Hatz was arrested by German authorities in relation to Dieselgate.
Hatz’s arrest follows the apprehension of another former Volkswagen engineer, James Liang, who was slapped with a 40-month prison sentence and a US$200,000 fine for his role in engineering the software for the emissions control defeat devices.
Meanwhile, VW Group brand Audi said it has no knowledge of Hatz’s arrest, and will continue to cooperate with the authorities, said a report by Automotive News Europe. Before this, only one other person has been detained in Germany, in relation to Dieselgate – that person was Zaccheo Giovanni Pamio, former chief of thermodynamics in engine development at Audi.
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Cukuuur P1 tak kawen sama VW.
What about Malaysia’s DSG Gate? VGM and VPC not paying any compensation to Malaysian VW buyers?
DSG gate is far worse than Dieselgate cause Malaysian owners have seen their VW cars plummet 70% of its value
Don’t just mention Malaysian VW buyers, as they already ‘sudah jatuh ditimpa tangga’. For Malaysian carbuyers, even rubbish CVT, crap and problematic DSG, dinosaur 4 speeder etc. also they will buy, as long it’s not manual one.
Aiyaa..peanuts la for VW. ..
You can buy 100 Proton companies for that money.
Agree, but after that, cannot sell off 100 P1 companies to make profit while VW will still be selling millions & making profits.
not surprising at all since VW was forced to buyback cars, perhaps at slightly higher than market value. tell NazaKia to do the same. and the Kia car sales will soar to success like 10 years ago. or Peugoet. or Hyundai. or Renault. offer good part exchange price.
Toyota also need to do the same (guaranteed future value 50% of purchasing price in 5 years), their RV if sell at open market mostly ‘hailax’ one. 3 years old vios can only get rm40k (original price rm80k), camry lagi lor, can only get max. rm90k for 3 years old car (year 2014 camry 2.5V, original price rm180k)
WOW. Kena sue kow kow to the tune of US30 billion also no need to file for bankruptcies under Chapter 11 in US ?! VW Memang Kukuh !!?
VW does this by accounting tricks. They can loose infinite amount and still not declare lost. That is how China does it as well. It is all about not balancing their accounts… You can also throw the losses to shell companies. Google and read up about ‘ENRON SCANDAL’ in 2001…
Are U saying VW will also be bankrupt like Enron?? I think U are reading too much into Enron but U failed to see the difference here. VW have sales, assets & history to back up there claims while Enron is history now.
If VW can do creative engineering, whats so difficult to do creative accounting?