Renault share price falls after emissions scandal link

An investigation has been launched in France into emissions testing fraud at Renault, the company admitted on Thursday after its shares had been sent skidding 20%.

Renault shares fell as much as 22 percent after union officials first said the sites had been searched, prompting the company to issue a statement confirming the inspections.

Investigators seized computers after visiting sites belonging to Renault on January 7, according to news agency AFP.

Renault confirmed Thursday that anti-fraud raids have taken place but says no cheating devices have been found in tests on diesel engines. The engineering center is dedicated to motor development and houses some emissions testing activities, Mr. Grimaldi said.

Renault declined to comment.

Following VW’s emissions scandal, Renault said in December it would invest €50m to lift emissions standards of its cars up to required levels. France’s environmental regulator had also been monitoring vehicles to check the difference between emissions results in test and real-world situations.

It said fraud investigators were looking at the way it uses exhaust emissions technology in an additional probe of parts and factories that follows an earlier investigation by the French government.