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Criminal proceedings against Winterkorn resumed

The first criminal proceedings against four VW employees over the diesel scandal have been ongoing for more than two years. Now former Group CEO Martin Winterkorn is once again being targeted by the judiciary.

Martin Winterkorn, former Chairman of the Board of Management of Volkswagen. Photo.aussiedlerbote.de
Martin Winterkorn, former Chairman of the Board of Management of Volkswagen. Photo.aussiedlerbote.de

Ex-VW boss - Criminal proceedings against Winterkorn resumed

The emissions scandal surrounding manipulated diesel engines at Volkswagen is once again catching up with former Group CEO Martin Winterkorn. The Braunschweig Regional Court reopened the proceedings on suspicion of market manipulation, as the court announced on Thursday. It was initially unclear when the trial would begin.

In the indictment filed by the Braunschweig public prosecutor's office in September 2019, the defendant is accused of not informing the capital market in good time about the installation of an unlawful defeat device in diesel engines. At the beginning of January 2021, the proceedings against Winterkorn, who had to resign after the diesel scandal broke in 2015, were provisionally suspended due to illness.

Regional court changes course

At the time, the chamber based its decision on the so-called NOx proceedings, including allegations of commercial fraud. The expected penalty in the proceedings would not be significant in comparison. Winterkorn had denied the accusations against him and claimed that he had known nothing about the illegal activities before the manipulations became known.

In the NOx proceedings, it has not yet been possible to bring Winterkorn to trial because, according to the court, he was not in a fit state of health to do so. For this reason, the regional court is now reopening the proceedings on suspicion of market manipulation at the request of the public prosecutor's office. In addition, according to the court, it has now come to the conclusion that the penalty for violating the Securities Trading Act could have an impact after all.

Four Volkswagen managers have been on trial before the regional court since September 2021. Ex-Audi boss Rupert Stadler was already sentenced to a suspended sentence in Munich in June.

Diesel scandal brought billions for VW

In mid-December, the Braunschweig Regional Court also admitted the charges against seven other employees of the VW Group. They are accused of fraud in a particularly serious case and a violation of the law against unlawful competition. Some of the defendants are also accused of possible tax evasion. The court did not name the defendants.

The fall of 2006, when the targeted deceptions are said to have begun, was a time when VW wanted to catch up with its competitors in the difficult US market. A major marketing offensive on "clean diesel" was intended to win over more customers.

In September 2015, it came to light that the company was falsifying the measured values using hidden software codes instead of using more expensive emissions technology. These ensured that the emissions were fully cleaned in tests, but were many times higher in road use. The discovery of the scandal plunged VW into the worst crisis in its history. The car manufacturer put the cost of the "consequences of the diesel issue" at around 32 billion euros.

Read also:

  1. The resumed criminal proceedings against Martin Winterkorn, former Group CEO of VW, are once again focused on the diesel scandal.
  2. The Braunschweig Regional Court, located in Lower Saxony, Germany, is overseeing these proceedings against VW employees.
  3. The public prosecutor's office in Braunschweig filed charges against Winterkorn for market manipulation.
  4. Allegations against Winterkorn include not disclosing to the capital market in a timely manner about the illegal defeat device in diesel engines.
  5. The Regional Court initially suspended the proceedings due to Winterkorn's illness, but now opts to reopen them based on the public prosecutor's office's request.
  6. Four other Volkswagen managers are currently on trial at the Braunschweig Regional Court, with one previously sentenced in Munich.
  7. The diesel scandal, which came to light in September 2015, resulted in billions of euros in costs for the VW Group.
  8. The scandal exposed manipulated emissions data in VW's diesel engines, which were many times higher during road use than in tests.
  9. The USA also played a significant role in the Diesel Scandal as VW sought to catch up in the difficult US market with a major marketing push on "clean diesel."

Source: www.stern.de

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