VW emissions scandal ‘shows no sign of dying down’

“The artificial gaming of emissions tests threatens to become the auto industry’s Libor moment”, he told the newspaper.

Daniel Carder and his colleagues at West Virginia University’s Center for Alternative Fuels, Engines, and Emissions did road tests in Los Angeles and along the West Coast on VW’s Jetta and Passat diesel models, as well as a BMW X5. And it was researchers at West Virginia University-not the EPA-that uncovered the problem using on-road testing, the AP added.

“If we manage to achieve that then the Volkswagen Group with its innovative strength, its strong brands and above all its competent and highly motivated team has the opportunity to emerge from this crisis stronger than before”, said Mueller.

Mueller, 62, has been widely tipped to succeed Martin Winterkorn, who quit on Wednesday, when the German carmaker’s supervisory board meets on Friday.

German transport minister Alexander Dobrindt said on Thursday Volkswagen had also cheated tests in Europe, where its sales are much higher than in the United States.

In response to “Dieselgate”, the EPA head of transportation and air quality, Chris Grundler, says the agency is sending letters to automakers promising that the agency is “upping our game”, by improving its ability to detect defeat devices and software such as those used by Volkswagen.

“I am shocked by the events of the past few days”, Winterkorn said in a statement.

Winterkorn, who had been CEO since 2007, said he took responsibility for the “irregularities” found by USA inspectors in VW’s diesel engines, but insisted he had personally done nothing wrong.

Volkswagen shares have plunged around 20 percent since USA regulators said on Friday the company could face up to $18 billion in penalties for falsifying emissions tests.

As many as 11 million cars around the world could be affected.

It (Other OTC: ITGL – news) has been warned the scandal could lead to Britain’s biggest ever class action lawsuit.

Volkswagen has admitted rigging emissions tests in Europe in the same way it falsified results in the United States, Germany’s transport minister has said.

Michael Horn, CEO of the German automaker’s USA operations, is departing after less than two years on the job, according to Reuters and CNBC.

European Commission Vice President Frans Timmermans said Volkswagen bosses had to fully come clean about the scandal.

Alongside Mr Mueller’s appointment, the supervisory board also approved changes to the management structure – aimed, the company said, at scaling back complexity and strengthening brands and regions.