SEC Accuses Volkswagen and Former CEO Winterkorn of Fraud

By Paul Riegler on 15 March 2019
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The U.S. Securities and Exchange Commission said late Thursday it was suing Volkswagen and its former CEO relating to the Dieselgate affair.

The SEC is accusing the German automaker of undertaking a “massive fraud” as it raised money from American investors.

Volkswagen used software to manipulate its diesel-powered vehicles’ emissions tests in an effort to show compliance with emissions regulations and the exaggerate their fuel economy.

The CEO, Martin Winterkorn, served as VW CEO from 2007 to 2015. He was charged last year with conspiracy and violation of the Clean Air Act as well as wire fraud.

The Dieselgate emissions-cheating scandal cost the automaker its reputation and billions of dollars in fines and penalties.

(Photo: Accura Media Group)