VW seeks damages from ex-managers for emissions scandal, paper says

BERLIN — Volkswagen Group is seeking damages from former managers who were dismissed for their roles in the diesel emissions scandal that has cost the automaker as much as $30 billion, a German newspaper reported.

VW is seeking to recover a large part of the 4 million euros ($4.60 million) the company paid for the defense of one of the jailed former executives, Oliver Schmidt, who was handed a seven year prison sentence in the U.S. in 2017, the Handelsblatt business newspaper reported on Thursday.

VW has fired six managers since it admitted in 2015 to illegally installing software in U.S. vehicles for years to evade emissions standards. All six are fighting their dismissals, Handelsblatt said.

The automaker filed the claims for damages at the end of last year, the paper reported, without giving details of which other former employees it had targeted or how high the total damages claims might be.

VW declined to comment on the report.

The automaker pleaded guilty in 2017 as part of a $4.3 billion U.S. settlement.

In total, nine people have been charged in the scandal. Two former VW executives, Schmidt and James Liang, a veteran company engineer, have pleaded guilty and been sentenced to prison terms in the U.S.

Handelsblatt cited Schmidt’s lawyer as saying his client would fight the move by Volkswagen.

Be the first to comment

Leave a Reply

Your email address will not be published.