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volkswagen dieselgate

Volkswagen must pay compensation to a German plaintiff who had bought one of its diesel minivans fitted with emissions-cheating software, Germany’s highest civil court has ruled.

The ruling sets a benchmark for about 60,000 other cases in Germany.

Herbert Gilbert will be partially reimbursed for his vehicle, with depreciation taken into account.

The German auto maker said it would now offer affected car owners a one-off payment. The amount will depend on individual cases.

VW has already settled a separate €830 million class action suit involving 235,000 German car owners.

The company said in a statement on May 25: “For the majority of the 60,000 pending cases, this ruling provides clarity as to how the [Federal Court of Justice] assesses essential questions in German diesel proceedings.

“Volkswagen is now seeking to bring these proceedings to a prompt conclusion in agreement with the plaintiffs. We will therefore approach the plaintiffs with the adequate settlement proposals.”

VW has paid out more than €30 billion in fines, compensation and buyback schemes worldwide since the scandal first broke in 2015.

The company disclosed at the time that it had used illegal software to manipulate the results of diesel emissions tests.

Volkswagen said that about 11 million cars were fitted with the “defeat device”, which alerted diesel engines when they were being tested. The engine would then change its performance in order to improve the result of the test.

VW’s current and former senior employees are facing criminal charges in Germany.

Volkswagen must pay compensation to a German plaintiff who had bought one of its diesel minivans fitted with emissions-cheating software, Germany’s highest civil court has ruled.

The ruling sets a benchmark for about 60,000 other cases in Germany.

Herbert Gilbert will be partially reimbursed for his vehicle, with depreciation taken into account.

The German auto maker said it would now offer affected car owners a one-off payment. The amount will depend on individual cases.

VW has already settled a separate €830 million class action suit involving 235,000 German car owners.

Dieselgate: VW Goes on Trial over 9 Billion Euros Diesel Damages

Dieselgate: VW Reaches $15 Billion Settlement with US Car Owners

The company said in a statement on May 25: “For the majority of the 60,000 pending cases, this ruling provides clarity as to how the [Federal Court of Justice] assesses essential questions in German diesel proceedings.

“Volkswagen is now seeking to bring these proceedings to a prompt conclusion in agreement with the plaintiffs. We will therefore approach the plaintiffs with the adequate settlement proposals.”

VW has paid out more than €30 billion in fines, compensation and buyback schemes worldwide since the scandal first broke in 2015.

The company disclosed at the time that it had used illegal software to manipulate the results of diesel emissions tests.

Volkswagen said that about 11 million cars were fitted with the “defeat device”, which alerted diesel engines when they were being tested. The engine would then change its performance in order to improve the result of the test.

VW’s current and former senior employees are facing criminal charges in Germany.

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VW will cut investment by €1 billion ($1.1 billion) a year as a result of the growing scandal over cheating on emissions tests.

Volkswagen said efficiency and technology would be the company’s watchwords as it “repositioned itself for the future”.

The automaker added that all new diesel cars would be fitted with the “best environmental technology”.

There will also be greater focus on hybrid and electric cars.VW to cut investment

“We are becoming more efficient, we are giving our product range and our core technologies a new focus, and we are creating room for forward-looking technologies by speeding up the efficiency program,” said Chairman of the Volkswagen Passenger Cars Dr. Herbert Diess.

The automaker said it would now be fitting the kinds of clean diesel technologies needed to meet stricter US standards across all its cars in both the US and Europe.

VW also revealed that its flagship Phaeton model would in the future be purely electric, capable of driving long distances on a single charge.

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According to new reports, world’s biggest automaker Volkswagen is facing multiple investigations in the US, including a criminal probe from the Department of Justice.

They follow an admission by the German carmaker that it deceived US regulators in exhaust emissions tests.

A DoJ criminal investigation would be serious, as federal authorities can bring charges with severe penalties against a company and individuals.

Late on Tuesday, September 22, New York state’s top lawyer announced an investigation.

New York Attorney General Eric Schneiderman said he would collaborate with other states to enforce consumer and environmental law.

“No company should be allowed to evade our environmental laws or promise consumers a fake bill of goods,” Eric Schneiderman said in a statement announcing the probe.Volkswagen Diesel emissions scandal

Meanwhile the Environmental Protection Agency (EPA) and the California Air Resources Board are investigating the way VW cheated tests to measure the amount of pollutants coming from its diesel cars.

VW said 11 million vehicles worldwide were involved and it was setting aside €6.5 billion to cover costs of the scandal.

According to news agencies Bloomberg and AFP, the DoJ is looking into the issue, which raises the possibility of the company and individual executives facing criminal charges.

However, the DoJ often extracts hefty payments from companies to settle criminal charges.

VW is due to hold a supervisory board meeting on September 25.

Reports say VW CEO Martin Winterkorn will appear before a select group of board members before then, possibly on September 23.

On September 22, Martin Winterkorn issued a fresh apology for the test-rigging, saying he was “endlessly sorry” for the “manipulation”.

The boss of Volkswagen’s US business, Michael Horn, has also admitted the company “totally screwed up”.

VW shares were down almost 17% on September 22 in Frankfurt, after losing 19% on September 21.