Ex-CEO will pay Volkswagen Rs 102 crore for emissions scandal
Martin Winterkorn, ex-CEO of Volkswagen will pay the company $14 million (Rs 102.5 crore) in compensation for the emissions scandal.
Martin Winterkorn, ex-CEO of Volkswagen has agreed to pay the company $14 million (Rs. 102.5 crore) as compensation for his role in the 2015 ‘dieselgate’ scandal.
Reports stated that an investigation found that, the former CEO had failed to respond properly to signs that the company was using cheat devices on its diesel emission tests. Volkswagen also stated that Winterkorn failed to ensure the questions raised by US authorities in regards to the 2015 emissions scandal were answered truthfully.
The company published a report recently stating that although Winterkorn was not involved in the development of the ‘cheat device’, he did “negligently breach his duties of care” by failing to clarify promptly and comprehensively the circumstance behind its use.
Volkswagen released a statement that they will seek compensation from Martin Winterkorn and Rupert Stadler (former Audi CEO). Stadler has been accused of failing to investigate the use of the ‘cheat device’ on Audi cars. The former Audi CEO has agreed to pay a compensation of $5 million (Rs. 36.6 crore).
Martin Winterkorn was the CEO of Volkswagen between 2007 and 2015. He resigned a week after the scandal came into public view. The diesel emissions scandal has, over the past 6 years cost Volkswagen over $39 billion in fines, compensations and settlements.
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