Answer to Question #220205 in Management for Bruno

Question

What was VW response in scandal, immediately and up to date?

Answer 1

Several Volkswagen executives and subsidiaries have been charged or arrested as a result of their involvement. The most recent is Martin Winterkorn, the former CEO of Volkswagen, who was charged with aggravated fraud by German authorities. The scandal led Volkswagen Group to pay a settlement of roughly USD 30 billion, with the amount likely to climb by several billion dollars. Volkswagen's stock price dropped after the EAP revealed the company's defeat devices to the public, prompting investors to file a USD 10 billion lawsuit in Germany seeking compensation. Herbet Diess has been appointed as the company's new CEO, promising major reforms and an emphasis on electric vehicle development. Hopefully, those new autos are powerful enough to get them over the hump they've created.