VW To Dismiss More Executives

This is just the latest development in the string of after events caused by the controversy, which Volkswagen is trying extra hard to take control of before too much damage occurs, even though a lot has already happened.

According to Reuters, all three R&D chiefs from Volkswagen, Audi and Porsche have been suspended.

Volkswagen claims that there are 11 million of its diesel vehicles around the globe with the emissions-cheating software. Both vehicle companies are owned by Volkswagen, and leading development executives Ulrich Hackenberg of Audi and Wolfgang Hatz of Porsche will be forced out at a meeting Friday, the German newspaper Bild reported Thursday. “Under my leadership, Volkswagen will do everything it can to develop and implement the most stringent compliance and governance standards in our industry”. Mr. Winterkorn resigned Wednesday. In December 2014, California Air Resources Board and Environmental Protection Agency officials agreed to allow a voluntary recall of the company’s diesel cars.

News has also emerged that VW knew about the device cheat in the USA and tried to cover it up past year, after American regulators started investigating.

Klaus Mohrs, the mayor of Wolfsburg where Volkswagen employs around 70,000 people, said on Monday he expected a sharp decline in business taxes as a result of the crisis, and announced an immediate budget freeze as well as a hiring ban.

The European Central Bank has suspended buying bundles of loans backed by Volkswagen assets as it reviews the implications of the ongoing scandal at the German auto manufacturing group.

Manufacturers globally now fear more costly regulations and a drop in diesel vehicle sales. As CEO I accept responsibility for the irregularities that have been found in diesel engines and have therefore requested the Supervisory Board to agree on terminating my function as CEO of the Volkswagen Group.