October 17, 2019 | 4:55 PM IST
diesel scandal

Diesel Scandal: Audi CEO, Rupert Stadler arrested in Germany

On Monday, CEO of Volkswagen’s luxury arm Audi was arrested in Germany for the German carmaker’s emissions test cheating scandal. The most senior company official so far has been taken into custody of Germany Police. Munich prosecutors said Rupert Stadler was being taken into custody due to possibilities he might obstruct an ongoing investigation into the scandal, tumbling Volkswagen Group into a leadership crisis. Stadler was in Audi’s leadership since 2007 and last week, his house was raided by German investigators. The raid occurred around the same time that Volkswagen Group agreed to pay a fine of $1.2 billion for "inadequate oversight" in its powertrain department. "As part of an investigation into diesel affairs and Audi engines, the Munich prosecutor's office carried an arrest warrant against Rupert Stadler on June 18", officer said in a statement. In September 2015, Volkswagen Group admitted the use of illegal software to bluff U.S. emissions tests on diesel engines, flashing the huge crisis in the history of VW Company leading to a regulatory crackdown across the history of automobile segment. In Germany, investigations are underway from three different municipalities: Munich, Stuttgart, and Braunschweig. "The Munich probe now involves 20 people linked to Audi," Bloomberg notes.

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